In studying my failures (of which there are a few), and looking forward to the US Open, my mind began to draw parallels between trading and this weekends tournament.  First and foremost, Rule #1 applies heavily for both.  The golfer that will win this weekend won't be the guy that sets the course on fire making 10 birdies in a row, it'll be the guy that recovers from his bad shots by playing safe and turning potential double and triple bogies into bogies and pars.  You can look at my trades and see where I hit my tee shot into the trees, and instead of pitching back into the fairway (cut losses and find a better trade set up), I try to hit through the trees only to have it hit another tree and end up in a worse spot. 

For the hardcore golf fans, I take you back to when David Toms won the PGA Championship in 2001.  His drive ended up in a spot that was just barely in the rough, 230 yards from the hole, with water in front of the green.  Did he have the shot in his bag?  Sure, he's a pro in the prime of his career.  But instead, he lays up to a more comfortable distance, hits a wedge to 12 feet, and drains the putt to seal a one shot victory over Phil Mickelson.  The trading equivalent is buying into a failed morning spike (Drive into the rough).  The smart thing to do is to cut losses quick (layup).  Then go with a more reliable play, like dip buying a earnings winner (easy wedge to the green), then nail a late morning or afternoon spike (sink the putt).  How often do we see top traders do this?  How often have I done the opposite?

Much like my golf game, I seem to be the biggest obstacle to my own success...