“Everyone has a plan ’til they get punched in the mouth.”
That’s one of the central challenges of trading. We set out with plans, then we get punched in the mouth with adverse movement.
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One way to think of risk management is as a framework that allows you to be aggressive enough to occasionally get hit in the mouth, but not so wild that you’ll get knocked out. Learning how to take a punch is key to boxing success, and it’s also an important trading skill.
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“Everyone has a plan ’til they get punched in the mouth.”Take A Punch
“Everyone has a plan ’til they get punched in the mouth.”
That’s one of the central challenges of trading. We set out with plans, then we get punched in the mouth with adverse movement.
—One way to think of risk management is as a framework that allows you to be aggressive enough to occasionally get hit in the mouth, but not so wild that you’ll get knocked out. Learning how to take a punch is key to boxing success, and it’s also an important trading skill.
