I shared just a few days ago how an early assignment (on the SELL PUT leg) of my Apple BULL PUT Spread (9 contracts) resulted in a major loss of USD 3k instead of a max loss of USD117 on the spread. You may refer to this article for reference:My Vertical Spread Disaster, How Max … Continue reading History Repeats! With Another Early Assignment Of Vertical Spread But I Made A Profit Of USD2.25k | What Went Right?
Tag: how to trade safely in options
I Followed A Guru And Lost USD6.15K In A Month | Sharing My Experience From Joining A Paid Trading (Discord) Group
I wrote this article to share my experience of joining a paid trading group on Discord, so that you can use it as a reference or as part of your consideration for joining a paid trading group, an investment course, or something similar. This is by no means criticizing any guru or discouraging anyone from … Continue reading I Followed A Guru And Lost USD6.15K In A Month | Sharing My Experience From Joining A Paid Trading (Discord) Group
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
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)
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)
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)
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)
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)
[Sept 22 Trading Review] How I Made 15.9k Gain Despite Losing 10.3k To Meta LEAPS CALL (Expired Worthless)
September has been a really choppy month traditionally for the stock market and this year (2022), it was worsened by the chaotic macro environment. The 2 events that caused the market to drop hard in September were the higher-than-expected CPI (Consumer Price Index) and the Federal Reserve's hawkish expectations of future rate hikes. In September … Continue reading [Sept 22 Trading Review] How I Made 15.9k Gain Despite Losing 10.3k To Meta LEAPS CALL (Expired Worthless)
Vertical Spreads Options Strategies Explained For Newbies | A Simple Way To Understand And Remember Vertical Spreads
I have long avoided using vertical spreads for a few reasons and choose to use simple one-legged options strategies such as selling/ buying PUT/ CALL contracts. One of the reasons was that I found vertical spreads quite complicated and confusing. Thus, I decided to stick to the most basic of options strategies, that is to … Continue reading Vertical Spreads Options Strategies Explained For Newbies | A Simple Way To Understand And Remember Vertical Spreads
[Aug 22 Trading Review] Cutting Massive Losses For LEAPS Portfolio In Aug 2022
The stock market rally came to an end mid way through August and started to trend down again, especially after Federal Reserves Chairman Jerome Powell's speech at Jackson Hole. He emphasized that more pain would be coming ahead in the Fed's fight against inflation. I tracked my LEAPS Portfolio more closely during this month and … Continue reading [Aug 22 Trading Review] Cutting Massive Losses For LEAPS Portfolio In Aug 2022
Learning Investment With Jason Cai 