Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we're going to be talking about why ignorance in trading is actually bliss. And don't get me wrong and don't start sending me a bunch of emails about this. I'm not talking about ignorance when it comes to market risk and position sizing and trying to pick tickers and strategies. What I'm talking about is once you actually have a system in place, you know what strategy you're going to use, you know what position sizing you're going to use, you're using enough cash reserves, you have maybe a hedging strategy on. Once you actually start making trades, then at that point, it really is kind of interesting that ignorance into the outcome of the individual trades is really bliss. You should be focusing more on the process versus the individual outcomes. We see this all the time here at Option Alpha where people start trading, they understand it conceptually, they understand the high probability nature, lots of trades, but then they make their first 10 trades and they don't go well and they think to themselves, "Something is broken. Something is wrong."

Well, if they were just ignorant to the outcome of those trades, they would realize that it has nothing to do with potentially those 10 trades that they made, that those 10 trades could just be a random string of 10 trades that went wrong. And so, what you should focus on as always and as many very successful, very sophisticated investors say, is you should focus on the process. The process will eventually lead you into making profits. And so, if you focus on the outcome of any one particular trade, then you find yourself in a situation where you start getting down this hole of analysis paralysis. Now, again, this is not to say that you should not analyze your performance, you should not make course-corrections and adjustments. What I'm saying here is that I find that people often are overanalyzing their positions and have too much analysis paralysis on things that go wrong. If you're using the right mechanics to enter positions, to manage them, position sizing, the risk metrics, risk management techniques, you should be fine given enough occurrences. And so, that's why I say in trading, a little bit of ignorance could be a little bit blissful for you. Hopefully this helps out. If you guys have any questions, let me know and until next time, happy trading.