Full force, Don’t Dabble

I’ve been thinking about this quote by Jack Schwager recently:

“Either go at it full force or don’t go at it at all. Don’t dabble.”

He is referencing trading here.

Either give it your all, put forth your best effort, or don’t bother.

Why?

Well, you are competing against the best in the world, if you think you stand even the slightest chance of success you better be putting in everything you have. Your counterparties are smart, well-funded, and experienced.

I also believe this quote can be true for individual trades. How many times have you taken a trade half-heartedly?

“Ah I can’t see anything better I’ll take this and see what happens, maybe I can grab a bit”

Before you know it, that trade turns into a loss and if you’re not careful it’s triggered revenge trading.

Better to commit 100% to the trade or pass it by.

That doesn’t mean risking silly amounts of course.

But it does mean doing all the pre-trade prep, the planning, and committing yourself 100% to the trade.

Risk an amount that has meaning but doesn’t hurt.

Respect the trade, expect it to work but have an exit strategy for when it doesn’t.