Trading is always walking a fine line between risk and reward. The comparison with chess is tricky, because chess is a Perfect Information game and trading is not (it is actually considered an Imperfect Information game, see for instance https://policonomics.com/complete-incomplete-information/ , https://arxiv.org/pdf/0809.0448 and https://www.elitetrader.com/et/threads/is-trading-a-perfect-or-imperfect-information-game.217365/).
That said, it is fundamental to have an entry and an exit strategy - especially in nondeterministic conditions - and a solid execution plan that is not influenced by irrational parameters such as FOMO and prejudices.
Hello @lucabarbera
It is an interesting link that you have left me, certainly, there is information that we do not know completely as to what economy can affect, or also, we handle information that we can consider true and in the end it is not.
Thanks for such a good comment, I think I will write about it.
A good point about the chess/trading comparison. As a chess player, I am aware that even though it is a perfect information game, I do not always "see" all the information that is there, and often make careless mistakes or react psychologically rather than playing the board. I also attempt to get my opponent to make those kind of errors too! The lesson is that if we make so many mistakes in a game like chess, we certainly need to work hard to protect ourselves against risk, and against ourselves, in imperfect information games such as investing.
Without a doubt, we must be careful not only of the factors that we do not control, but of those factors that we can control, which are intimately related to our psychology