My Trading Journey Part 2
Ok so fast forward to sometime around 2008. By this time I was finished with college and the owner of my own business. Had got lucky and made a good deal of investment money from that business. So like any good and smart American I invested that money in some portfolio mutual funds. All was good letting someone else take care of my hard earned money, what could go wrong? 2008 that's what could go wrong. The experts taking care of my money lost 50% of it. Ok I'm upset but it was a terrible financial crisis however. So they waved the fee they charge for managing my portfolio, ok still good. Three months later they start charging me a fee again, because after all they just made me 2% that quarter. Ok NO longer am I still good. I was like great now that you made me 2% we are still just down 48%! They said, "that's not the way it works sir". This is the exact moment in time that I decided that no one but me will take care of my money. And so for better or worst my active trading career begins..........
I would like to explain who I am and why I am before I share and teach what I do. So be patient (a must have quality for any trader imo) bare with me and we will eventually get to the good stuff!
Fully agree on the patience front - that's why I love selling options - you just sell them and then wait patiently for them to expire, then repeat.
Aptly captured by whoever owns the quote "Don't just do something, stand there"
Love that quote lol
I agree with what you said I used to buy options and the price would be up and I would be losing money and I was like what the heck is going on and then it dawned on me when I was buying somebody was selling and those are the guys that were making the money so I started researching and checking into that and that's when I started selling the credit spreads and the rest is history.
Exactly - when you are selling you have both the long-term market trend and time on your side. Seems to me the only way to lose is for the underlying company to go bust. So I now do 100% credit spreads, selling the bluest of chips or major indices
Cheers
I was doing those but now I do just SPX