The purpose of this sharing is not to boast how good I am in options trading or to shut the haters up. I consider myself still a newbie in options trading and there is still so much for me to learn. I am sharing what I have earned in 2021 and all my options trades this year for 3 reasons:
- To inspire you that it is possible to learn options trading on your own and not spend a single cent on expensive courses. I learn about the fundamentals of options through watching YouTube videos for a couple of months and as I started trading, I continue to learn from YouTube traders and coaches.
- It is possible to earn some money right from the start as long as you get the fundamentals right, pick the right strategies and most importantly, place your trades on good companies and not take unneccessary risks with meme stocks.
- You do not need to learn complicated options strategies such as Iron Condor, Reverse Iron Albtross. In fact, I did not even use spreads. I only use 2 strategies that work very well and are very easy to understand, the Wheel and LEAPS. I have also written articles to talk about these strategies and to explain options in layman terms. You can find them via this link.
My success this year has given me the courage to realize over 80,000 of paper loss into an actual loss that I have accumulated with bad investment decisions over the years of investing.
My options trading journey started in late Feb on 26 Feb 21, with my first contract selling PUTS on Apple. I remembered the strike price was only $126 and selling PUTS gave me around 5% premium instantly. It was my first of the many premiums collected.
By 9 July, I concluded Year 1 of my options trading journey to align with my investment year (which ends on the 15th July of every year). The green boxes are profits while the red boxes are losses. So, in Year 1, I have made close to USD$8.5k.
In the 2nd half of 2021, where year 2 of options trading starts on 16 July 2021, I have broken down my trades and records into Wheel and LEAPS respectively.
Using the Wheel Strategy of selling Covered CALLS and Cash Secured PUTS, I have made USD$17.1K.
The biggest profts comes from buying and then selling my LEAPS options.
I have made USD$76.3k from buying and selling LEAPS and I have still much unrealised profits from my LEAPS holding in Apple, AMD, Nvidia, Tesla, Alphabet, Microsoft and Facebook. I currently own about 100 LEAPS contracts, which I intend to sell and replenish as I go along.
I hope this sharing helps you in some ways, whether you are newbie options trading or someone who has been struggling to make profits in the stock market. You can read about the other articles I wrote in this blog to understand more about my investing and options trading journey. If this article/ blog has been useful to you, please share it with your friends or loved ones so that they too can benefit from it. All the best in your investing/ trading journey!
P.S. I have received requests asking what strike price I choose for my LEAPS, CALLS, PUTS, the quantity of contract, the premium collected or paid, strike price and expiration date, so I sum up everything in this post, together with the spreadsheet that I use to track all my options, which you can reuse if you find it useful:
Revealing All My Trade Records for Year 2021 (USD102k Profits)
Keen to learn about options trading but do not wish to pay for expensive courses, this newbie guide will help gain the knowledge and fundamentals to understand options better. And it’s totally free!
The Newbie’s Guide To Options Trading
The LEAPS Strategy has helped me make more than USD120,000 in 2021. Here’s all you need to know about this strategy that can help you increase your wealth exponentially:
The Ultimate LEAPS Options Thread
Looking for ideas on what stocks to invest in or which stocks to trade? You can take reference from what I have been buying or selling. I try to update them as soon as I can in this section, as well as share my thoughts behind executing these trades:
Excited to start your trading journey or perhaps try out with a paper trading account to build your confidence in trading? Check out this step-by-step to help you get started:
How To Buy Options on Interactive Brokers (Step-By-Step)
I watched tons of videos on YouTube since 2020 and if you are wondering if there are any useful channels that you can subscribe to for learning market trends, TA, FA, check out this compilation here:
My Secret Weapons For Options Trading: I Watch These YouTube Financial Channels Every Day
I concluded my first year of options trading with more than USD160k of gain, see how I do it and the capital I use for every month to give you a sensing of the percentage yield I get out of my gains:
1st Year Options Trading Recap: The Journey Towards SGD$217,509 Profits In 2021
This blog is as authentic and as transparent as I can share, I do not just show the wins and hide the loss. I have made some very bad decisions in the first 8 years of investing and paid a huge price for them. Here is the loss I have accumulated during these years. I hope you learn some lessons from my mistakes.
I Cut $135,715 Worth Of Losses In The Last 1.5 Months
4 thoughts on “Revealing All My Option Trades in 2021 (USD $102,001 Profits)”
Thanks for sharing.
I really hope to learn more options strategy from you.
I have send too much money on investment courses and till now still have not yet earn back my course fees.
Due to my small portfolio, there is only limited stocks to invest. Hence, I hope to increase my portfolio size using the option strategy that you are using now.
Thanks again for your kindness and unselfishness to share with us.
Stay safe and best regards,
Hi Jeslin, thank you for sharing your experience. Wish you all the best and may you one day earn back not just the course fee but also create an alternate stream of income that can help you reach financial freedom 🙂
Thanks for this post. I needed to hear this after my all nighter on options.
From an attentive reader.
Thank you Leke for getting in touch and for taking time to read my blog, appreciate it and wish you all the best in your investing journey 🙂