Flirting with Models cover image

15 Ideas, Frameworks, and Lessons from 15 Years

Flirting with Models

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The Nature of Backtesting and the Market's Correctness

This chapter highlights the significance of backtesting in gaining insights about one's trading process. It also explores the realization that the market is usually correct, discussing a profitable crypto trade as an exception. The chapter concludes with a mental shift towards assuming the market is right and seeking reasons for misunderstandings before assuming the market is wrong.

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