Behavior

Post-Mortem Checklist for Bad Trades

Summary

Losses are useful when reviewed with structure. A repeatable checklist helps distinguish bad process from unavoidable variance.

Market Context

Recent sessions showed mixed macro signals and abrupt short-covering rallies. Conviction quality dropped as narrative swings accelerated.

The Thesis

Create a repeatable review framework after underperforming sequences so process quality can be measured independently from outcome quality.

Trade Structure (Paper)

Reviews focus on directional outcomes, structure assumptions, and risk controls. No exact entries, timestamps, or actionable execution details are provided.

What Happened

Most underperformance clustered around sizing decisions in average setups, rather than from thesis quality alone.

Post-Mortem

Key prompts: Was the thesis explicit? Was invalidation defined before entry? Was size appropriate for variance? Was execution aligned with plan?

Behavioral Notes

Certainty was the most expensive bias. Probabilistic framing improved consistency and reduced reactive overtrading.

FAQ

What is the goal of a post-mortem?

The goal is to identify which assumptions failed and what should be changed in process, sizing, or structure.

Should every losing trade trigger strategy changes?

No. One loss can be noise. Post-mortems should focus on patterns across multiple outcomes.

The content on this site is for informational and educational purposes only and does not constitute financial, investment, or trading advice. Past performance is not indicative of future results — trade at your own risk.