Around 15 years ago when my first startup failed due to putting too many ideas in the business, my mentor taught me about Opportunity cost.
Take a Rolex Submariner for example. The true cost is not just the $10,000 retail price. The opportunity cost is the massive return you give up by not putting that $10K into a prime breakout setup on a ticker like $NVIDIA(NVDA.US) or $Apple(AAPL.US). As traders, we have to look at our buying power the exact same way.You do not need to be in every single trade. In swing trading identify where the opportunity is and quickly adjust positions to catch the best possible trades instead of dwelling on just one idea. Analyze the board, pick the absolute best risk to reward setups, and leave the rest alone. Cash is a powerful position.
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