In the world of trading, the two metrics we are most concerned about is our profits and the probability that we make them. There is a natural balance that exists between the two. First if we want to increase profits this is going to come at the expense of probability. Meaning if potential profits increase then the probability of making those profits decrease. This is known as an inverse relationship.
Join Beef and Anton as they dive into this topic. Using both real and hypothetical examples, they dissect different ways we see this relationship hold in the trading world.