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Trading glossary · advanced

strategy

Your complete set of rules for trading: what you trade, when you get in, when you get out and how much you risk.

The fuller meaning

A complete, testable approach built from a hypothesis: market, timeframe, setup, entry trigger, stop, exit, position size and no-trade rules, written so another person could follow it. It is tested by hand and on out-of-sample data with costs, then forward-tested before trust.

strategy, also called trading strategy.

Related words

at the money · backtest · backwardation · basis · call option · contango · data snooping · delta · edge · entry trigger