@TradingComposur The secret to trading is not what you make when you’re right, it’s what you don’t lose when you’re wrong. My field goal approach to risk management is…give up field goals when you’re wrong, and score touchdowns when right. If done properly, you don’t even need to be right 50%.
@SJosephBurns Give up field goals when you’re wrong, and score touchdowns when you’re right…and you’ll be successful. Pretty simple in concept. #options
@TradingComposur It’s not what you make when you’re right, the wins take care of themselves. It’s what you don’t lose when wrong that lets you live to fight another day. Pretty simple.
Anyone else have mobile issues with Schwab/TOS this morning? TOS has gone down hill since Schwab took over. And they’re standing behind legalese to not fully compensate or make good due to their inability to allow access to their site.
@realsamseiden It’s not that you must lose, but knowing that you will lose. It’s not what you make when right, it’s how you manage the losers, what you don’t lose when wrong. That’s what will stop you from blowing up your account, and let you live and fight another day.
@pinnacle_inst Simple concept…give up field
goals when wrong and score TD’s when right. No one cares about your winning %. It’s not what you make when right, it’s what you don’t lose when wrong that lets you live and fight another day, w/out blowing up an account.
@pinnacle_inst Options are the greatest thing ever invented! The only asset class where you can be somewhat wrong directionally, and still profit. You can even profit when the underlying stock doesn’t move. Check ‘em out…
@pinnacle_inst Risk management…it’s not what you make when you’re right, it’s what you don’t lose when you’re wrong that lets you live and fight another day.
@tradersmindedge Little losses are all that matters. Even if you have an 85% win rate, large losses on the 15% can leave you in the red. Well, and don’t forget position size…
@tradersmindedge If you want to think gambling…be the house. The odds are literally in the houses favor. When you sell options, you’re the house, you literally have the odds, the probabilities, in your favor to profit.
@TraderDivergent Like a good quarterback, don’t force a pass into tight coverage. Usually the other color uniform that catches it. Patience. Wait for the receiver to get open and lead him.
@tradersmindedge Mathematically, trading stocks, forex & futures, your probability of profit is 50/50. When selling options you can literally have anywhere from a 50%, 60%, 70%, even up to 90% probability of a profit. There you go…
@tradersmindedge The secret to trading is to stop thinking. I think it’ll go up, or I think it’ll go down. I let the charts talk to me…I hear voices when I trade. 😜 Price action is all we need.