I often hear about a trader who sticks with trades for a really long time.  Even adding recklessly as the position goes against him.  Eventually the trades work and they credit their conviction.  They point skyward and thank their conviction as if they had just won an Oscar.

This happens a few times and word gets around.  Conversations at the poker table and the coffee room center around exactly how much conviction this trader has.  Rumors swirl that the trader has never capitulated — due to excessive conviction.  When faced with the trader on the street, others give a wide berth; fearing the radiating conviction.

Then a few months later the same guy gets into another position and holds on; citing his conviction.  This time he gets blown up.  Now they refer to him as, “that stubborn asshole.”

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