November 2022 – Learning Investment With Jason Cai

My Vertical Spread Disaster, How Max Loss USD117 Became USD3,036 Loss | What To Do (& Not To Do) When One Leg Of Vertical Spread Gets Assigned

November 26, 2022December 21, 2023 by Jason Cai

This was supposed to be a safe low-loss trade that went terribly wrong due to some bad decisions that I made. Hopefully, you can learn from my mistakes and not make these decisions that can balloon your losses. On 21 Nov 22, I had 20 open contracts of Apple Bull PUT Spread. I received USD4.87 … Continue reading My Vertical Spread Disaster, How Max Loss USD117 Became USD3,036 Loss | What To Do (& Not To Do) When One Leg Of Vertical Spread Gets Assigned

My 390.91% Return On Positive CPI Reading Trade (Bull PUT Spread On Apple)

November 18, 2022December 21, 2023 by Jason Cai

The October Consumer Price Index (CPI) reading came in lower than expected at 7.7% and the stock market rallied on 10 Nov 2022. I initiated a BULL PUT Spread aka PUT Credit Spread (3 contracts with a max loss of USD165 and max gain of USD1,335) on Apple stock. Details are as follows: I opened … Continue reading My 390.91% Return On Positive CPI Reading Trade (Bull PUT Spread On Apple)

My 390.32% 2-Day Return On FOMC Meeting Trade (Bear CALL Spread On QQQ)

November 7, 2022December 21, 2023 by Jason Cai

The stock market was feeling optimistic ahead of the FOMC meeting on 1~2 Nov, especially a Wall Street Journal article published the week before suggested that the Fed could pivot. I was in the camp that the Fed would not pivot and that the market would sell off after the meeting. So, I started a … Continue reading My 390.32% 2-Day Return On FOMC Meeting Trade (Bear CALL Spread On QQQ)

Breaking Even On My Invested Capital (Assuming All 342k Worth Of LEAPS Contracts Expire Worthless)

November 5, 2022November 5, 2022 by Jason Cai

5 months ago when I was sharing about my 618k unrealised loss, I mentioned that what is worse than accumulating this amount of loss is that there were up to 453k worth of CALL options contracts that would eventually expire worthless if the market does not recover by Jan 2023. Reference article:What Is Worse Than … Continue reading Breaking Even On My Invested Capital (Assuming All 342k Worth Of LEAPS Contracts Expire Worthless)

[Oct 22 Trading Review] 44.22K Increased Earnings (Trades, Profits & Losses For October 2022)

November 3, 2022November 7, 2022 by Jason Cai

October was a very volatile month with huge swings within days. The most classic case was on 13 October 22 when the market first crashed when CPI readings were higher than expected (which meant that inflation was still not coming down) and then rapidly rose to record the top 5 highest intra-day fluctuations in the … Continue reading [Oct 22 Trading Review] 44.22K Increased Earnings (Trades, Profits & Losses For October 2022)