# Four Habits Worksheet

*Signal Pilot Education — companion to Lesson 90: The Four Habits Together.*

Four habits, each measurable alone on the same trades. On the lesson's seven, taking the profit at the first green close costs 2.20 a share and a stop at a quarter of an R costs 5.90. Add those and the pair should leave 1.74. Run both at once and the record is 4.44, which is 2.70 better than the addition predicts. This worksheet runs the same test on your own trades.

> **Educational only.** Trading involves substantial risk of loss. Not financial
> advice. Past performance does not guarantee future results. Every number in
> this worksheet is one you measure on your own record; the figures in the
> right-hand column are what the lesson measured on its own seven trades, and
> they are there to be disagreed with rather than copied.

---

## 1. Fix the baseline

Take **the same set of trades** for every row that follows. Re-running each
habit on a different sample is the one mistake that makes this sheet useless.

| | Your number |
| --- | --- |
| Trades in the sample | |
| **Result of the rule, untouched** | |

## 2. Run each habit alone

Replay the same trades four times, changing exactly one thing each time.

| Habit | Your result | Cost against baseline | Lesson 90's seven |
| --- | --- | --- | --- |
| Take the profit at the first green close | | | costs 2.20 |
| Move the stop to a quarter of an R | | | costs 5.90 |
| Size the next trade on the last outcome | | | |
| Exit at the best close you saw | | | |

## 3. Run two of them together

| | Your number | Lesson 90's seven |
| --- | --- | --- |
| Cost of habit A alone | | 2.20 |
| Cost of habit B alone | | 5.90 |
| **What addition predicts** = baseline − A − B | | 1.74 |
| **What the pair actually leaves** | | 4.44 |
| **Gap** | | 2.70 |

The gap is the finding. Two exits do not stack, because whichever fires first
takes the trade off the table and the second never gets to charge. Anyone
adding up the cost of their habits one at a time is overstating the total.

## 4. Read the order

| | Your number |
| --- | --- |
| Costliest habit alone | |
| Habit that changes least when combined | |
| **The one to fix first** | |

---

## What you are holding when this is filled in

Four costs, one predicted total and one measured total. The gap between the
last two is the amount by which adding habits up gets the answer wrong, and
the first row of section 4 is the only one worth acting on this month.

*Signal Pilot Labs, Inc. — /education/curriculum/professional/90-the-four-habits-together.html*