Hey new traders, let's talk about something that'll save you from bleeding capital — knowing when your trade thesis just died.

See, most beginners hold onto losing positions way too long because they confuse hope with analysis. Here's the reality check: every setup has an invalidation point. That's the price level where your original idea simply doesn't work anymore.

Think of it like this — when a support breaks convincingly, that's not a "dip to buy." That's your signal screaming the trend shifted. Continuation means the market's still respecting your key levels and moving in your predicted direction. Invalidation? That's when those levels get wrecked and it's time to exit, not average down.

Master this distinction and you'll stop turning small losses into account killers.