Every now and then I hear bobble heads say, “Only trade with what you can afford to lose” and that drives me freaking crazy. You won’t hear it here, IT’S FUNDAMENTALLY FLAWED for two reasons.
First, who here has money to ‘LOSE’!!! I don’t care if you’re rich or living on food stamps, nobody has money they want to lose, period!!!
Second, you’re in the wrong frame of mind from the get go! Thinking that it’s acceptable if you ‘LOSE’ your money. And I don’t care what anyone says, your frame of mind in trading is directly linked to your success or failure.
Crap like this is why 90% of traders do lose. Maybe the person saying it has no confidence, I don’t know. Or maybe they are tipping you off to the fact you’ll probably lose if you follow them. I say don’t subscribe to main street media jargon like that and you’re one step closer to becoming the 10% that win.
Now I understand what they are trying to say, don’t get me wrong, but I still say SCREW that! You should be going into a trade thinking you’re going to win, that’s all of your hard earned cash and it’s important, period. An attitude like that will make you work harder, make you more cautious with your trades and help you win over and over and over like I do.
I pick off 10% repeatedly because I watch where I put my money, like a HAWK! I HAVE NONE I CAN AFFORD TO LOSE!!! I dig deep into filings, almost ‘nerd’ like behavior because I don’t have any money to lose, I only have money to make and you should do the same.