Losing is part of the game

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Why is losing part of the game of trading options?

Losing is part of the game

An offshoot of this lower winning percentage, and something that often comes as a surprise to many traders, is the experience of coping with an extended losing streak. The ultimate goal of achieving profitability will remain out of reach unless great care is taken to control the amount of capital allocated to each position, as even wildly successful traders are not immune to a string of losing positions. In short, the objective in options trading is to "stay in the game" through proper money management techniques that allow you to weather the inevitable storms of losing trades.

   

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