How I Recognize When a Trade Idea Is Invalidated

Before entering a trade, I want to know what would prove my idea wrong.

If I'm buying a failed breakdown, for example, I need a clear level or market behavior that invalidates the recovery thesis.

Without that definition, I may keep holding because I hope the market will return.

An invalidation level makes the decision more objective and helps me size the position appropriately.

I don't need every trade to work. I need to know when the reason for being in the trade no longer holds.