New Year, New Goals? Here's Why Your Options Trading System Matters More Than Your Profit Target
It's almost January ā the season of fresh starts and ambitious resolutions. For us options traders, that often means setting a goal like "I'm going to hit a 30% return this year". But what if focusing on that goal is actually holding you back? Take Bill Walsh, legendary coach of the 49ers. He led his team to three Super Bowls with the mantra: "The score takes care of itself". Walsh didn't obsess over the scoreboard or championships. Instead, he focused on building systems ā recruiting, training, and executing with precision. By sticking to those daily habits, the wins naturally followed. The same principle applies to trading. Control what you can control. Instead of fixating on profit targets, shift your focus to what you can control: your system. - Your goal might be a 30% portfolio return. - Your system is how you research trades, manage risk, allocate capital, and review results. Imagine a basketball team ignoring the scoreboard all season, choosing instead to focus on practice, drills, and execution. They'd probably still win plenty of games ā and so will you if you master your process. As we approach 2025, ask yourself: - What habits will help me trade smarter? - How will I manage my trades and review outcomes? - Is my system sustainable, even when markets get tough? The irony? When you focus on your system, the profits often follow. What does your trading system look like for 2025? Let's discuss below!