first principles Archives

The Most Powerful Way to Think (First Principles)

No one-size-fits-all solution for solving complex problems or making significant breakthroughs in any field exists. However, one decisive way to think can help us overcome the most challenging obstacles: First Principles thinking. First Principles thinking is a mental model that involves breaking down complex problems into their fundamental parts and rebuilding them from scratch based …

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First Principles Thinking

Profitable trading / By Steve Burns

First principles thinking inverts complex problems to look at each step in a process or system. It seeks to find errors as places for improvements by looking at the most basic principles that lead to success or failure. You must remove opinions, beliefs, assumptions, traditions, and predictions to see the essential core principles of a model …

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The First Principles for Profitable Trading

Profitable trading / By Steve Burns

If you are losing money in the markets or having a large drawdown in capital it could be a good idea to go back and return to first principles. First principles are the core concepts or accepted foundation of beliefs that a theory, process, system, or methodology is based. Profitable trading comes from using the …

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