Prudent Rational Trader

A prudently rational trader knows that any option strategy that is exposed to unlimited risk, no matter how small the probability, will eventually suffer catastrophe under the law of large numbers. As a Wall Street maxim notes, "There are bold traders and old traders but no bold, old traders." There is no way in the long run to beat the odds consistently if they are against you. The improbable should never be assumed to be the impossible.