2.) Remain flexible – When you don’t know what’s going to happen, the best strategy is to be ready for anything.
3.) Take reasoned risks – reasonable exposure and positive edges only.
A Reasoned risk is more like an educated guess rather than a roll of the dice. A Reasoned risk limits exposure so that one or a few trades will not affect the trader’s account too adversely should the trades turn out badly. Great traders aren’t gamblers.
4.) Prepare to be wrong
5.) Actively seek reality
6.) Respond quickly to change – When a trader determined a place to get out of the trade, a competent trader will respond quickly and get out, thereby reducing his exposure to continued uncertainty to zero.
7.) Focus on decisions, not outcomes.