This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
See Cramer's multi-million dollar portfolio for FREE and get his new book Get Rich Carefully! Learn More

Stock Doc: Stick to Your Guns

This past Sunday, in the second inning of a baseball game, I stood on first base after hitting a single with two outs.

I play in a wooden-bat semi-professional baseball league in Central Park as a way to relax each weekend. My team was playing against a new and unfamiliar opponent on that day, and I had no awareness of whether the catcher had a good throwing arm or if the pitcher had a good pick-off move. We had a weaker hitter at bat, so strategically I knew that it would be in my best interest to attempt stealing second base.

So after the pitcher went into his motion on the second pitch, I made the decision to take a risk and try to steal the base. Unfortunately, despite my sound strategy, I was just barely thrown out after sliding feet-first into the base. I was told that I probably would have been safe, had I gone in with a headfirst slide. Lesson learned!

Even though the inning ended, my teammates celebrated my courage and my aggressive play. I was, after all, just trying to make something happen.

I have long been a fan of a quote that I read inside of a fortune cookie, and I have tried to integrate its meaning into my business and athletic endeavors. The quote reads, "You can't steal second base and keep your foot on first!" For the traders and investors out there, this means that in order to take risks and make money, you can't second-guess your strategy or thesis, even if the trade seems uncertain.

I have worked with many traders who have initially felt that they were not making a good enough living because they were not getting involved in fast-moving trades and thus, were sitting on the sidelines during a huge opportunity to take a strong position. Many of them feel angry that they are watching others make money after having taken a big risk. The best traders, of course, take risks, and are so competitive that they would never be caught sitting on the bench starring at his or her P/L during a fast money making opportunity, no matter how uncertain it may be.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
DOW 16,408.54 -16.31 -0.10%
S&P 500 1,864.85 +2.54 0.14%
NASDAQ 4,095.5160 +9.2910 0.23%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs