Have you ever heard of the trap for beginner traders?
It happens when a novice trader creates a trading system, and they convince themselves that it will be very profitable, and invest all the money they have.
"If the system works why not make as much money as quickly as possible?" they ask themselves.
When they are unlucky, they start losing money as soon as they go Live.
When they are lucky, they start to make a lot of money, but then - inevitably - the wheel turns.
The moment comes when the system's performance drops, it goes negative, and they don't know what to do.
"Do I keep waiting or I do I stop?" they ask themselves continually worn down by doubt.
Doubts that - if you do not have objective tools to analyze the situation - sometimes they lead you to make sensational mistakes.
"I had earned XX.XXX euro but then I lost it all together with the capital" is the tragic conclusion that I have heard too many times to tell.