MM25 - Math Is the Universal Language

No matter where you live in the world, 2+2 = 4. That is exactly how I approach my trades. Math is the universal language, and it is the foundation of every single adjustment I make.

I want to talk about this today because so many of you, especially newer traders, are making decisions based on emotion. You get in at the worst time. You get out at the worst time. It is just the way it is when you are new. And if your risk management is not dialed in, it gets worse. If you take a 40 or 50% hit to your portfolio, you now need to make 100% on the next run up just to get back to breakeven. That math alone should stop you in your tracks.

This is where modified synthetic longs come in. I use them to tip the table and give me my edge back, mathematically. If you have been following along since MM1 where I walked through my Google MSL, or MM7 where I broke down my NVDA MSL, you know I come back to this strategy again and again. It is the backbone of Course 301 for a reason.

So let me show you a real example. Last week, I posted in the OG Academy community that I was adjusting another 10% of my modified synthetic longs, converting them to synthetic longs. Was it a feeling I had? No. It was based on the chart. Tesla had come down to the lower part of the channel, and I knew we had major support around 290 to 300. In my mind, I said we are not going below 290.

Now here is the key question. How did I decide what to adjust, and what math drove the decision?