If either your spouse, your girlfriend, or your broker ever tell you that “size doesn’t matter” then rest assured that you are being lied to. And yes it does matter ‘how you use it’ but it comes with some caveats.
As humans, we have an extremely poor ability to judge statistics. It’s one of the key reasons that casinos anywhere on the planet not only exist, but thrive. Most of us know that in a casino, the odds are stacked squarely against us.
“I’ve seen things you people wouldn’t believe… Attack ships on fire off the shoulder of Odessa. I watched broken dreams of effervescent markets glitter in the dark near the gates of the Eccles Building. All those moments will be lost in time…. like tears in rain…. Time to die…”
If I had to name the number 1 mental hangup that is preventing retail traders from being successful traders then it would be the constant need to be proven right. It’s a pernicious mental trap that has wiped out a many trading accounts. Unfortunately just like gravity or bad customer service in Spain I don’t see this changing anytime soon. And don’t think I am excluding myself either – quite to the contrary.
