another one bites the dust

[spindr0]

Some good points. Yep, tough post to make. Most people never face the music. It's easier to talk about your winners and never acknowledge the net losses.

Learning to trade from attending courses is possible but highly unlikely. Them that can, do. Them that can't, teach.

Successful trading requires more than just knowledge. Discipline and money management are mandatory and AFAIK, they're as, if not more imp't than the trade. I think most noobs are into instant gratification and aren't willing to put in the time as well as do the hard work needed to survive.

My 2 cts is that trading not to lose should be the mantra while learning the ropes. You may not succeed overall and if you don't, you'll find out w/o blowing out your account.

 

[daveyc]

just a note for why i have posted this topic.

first, thank you all for the replies. no, i am not ashamed or afraid to admit to you all here about my options trading experience and my throwing in the towel. the readers of this forum are traders so why not show the dark side for a newer trader or heck for you seasoned guys as well.

i have been trading options since 2007 and can say my only 'luck' in this business and really it was only luck was being on the right side of the trade in '08 and as i think about it now i was closing down spreads on spx just literally prior to the flash crash as riots were taking place, within an a couple of hours is not an exaggeration.

this last trade which started out as a standard ratio put spread in my pm account ended up in a loss that exceeded $12k, not the end of the world, i know, but i'm not trading with millions either.

 

[ForexForex]

Queen - Another One Bites The Dust - Live

<iframe width="560" height="315" src="http://www.youtube.com/embed/9E-WasNzVpI" frameborder="0" allowfullscreen></iframe>

 

[newguy05]

Quote from spindr0:

My 2 cts is that trading not to lose should be the mantra while learning the ropes. You may not succeed overall and if you don't, you'll find out w/o blowing out your account.

easy said than done when trading options..if you are new.

 

[mikeenday]

very true.

I actively trade options, almost 5 trades per day. The overall result is breakeven, I believe.

The major reason i'm doing option trading is to keep myself from actively trading stocks, i.e., SPY/QQQ. I get the excitement from options, and it helps me sit tight on my big SPY trades.

To swing the big trend is really the only way to survive in this game.

The barriers in option trading are:
1) you can't go all-in, this is anti-money-management.
2) you need everything right to get big rewards in options, but one parameter is wrong, option trade is a loss.

Quote from newguy05:

easy said than done when trading options..if you are new.

 

[NickTrader123]

Quote from daveyc:

but there is nothing that can keep you safe from being on the wrong side of the trade

[/B]

A stop loss maybe.

 

[iceman1]

Quote from mikeenday:

very true.

The barriers in option trading are:

2) you need everything right to get big rewards in options, but one parameter is wrong, option trade is a loss.

absolutely

I think I am experienced with options; but last couple months am just treading water. I make -ONE- mistake or don't get the perfectly perfect price and it's close to a negative expectancy deal where in or whereby I have to keep repairing and/or exiting front month and entering next month or later.

I resigned myself last week to do more equity and futures trade (position and swing trader) so that if I am wrong I can exit immediately (with a profit or scratch) without needless slippage (which for me leads to hesitation) - - - that you often have holding options trades over longer term and then wanting or needing to exit, or roll.

 

[spindr0]

----------------------------------------------------------------------
Quote from spindr0:

My 2 cts is that trading not to lose should be the mantra while learning the ropes. You may not succeed overall and if you don't, you'll find out w/o blowing out your account.
----------------------------------------------------------------------

Quote from newguy05:

easy said than done when trading options..if you are new.

The first step is learning how options work as well as what the various option strategies. Option noobs should focus on risk managed trades in small quantities (verticals, calendars, butterflies, etc.) so that they can get real trading experience w/o the blow out.

Unfortunately, those strategies are more sophisticated than outright call or put buying and therefore get learned later by most. Add to that the instant gratification mentality of noobs seeking the dream as well as course sellers hawking their get rich quickly schemes and the odds of surviving very long are pretty low.

After 20+ years of investing, I went to full time day trading 10+ years ago. It may sound easy if not silly but my initial goal was to beat MM rates while learning it and subsequently, to make enough to pay my bills so that I didn't spend down my retirement nest egg. Yep, easier said than done but very doable if you realize that consistency is more imp't than the occasional big win. It's a daily grind not a road runner race.

 

[SteveNYC]

Quote from danshirley:

Cheer up:

http://www.youtube.com/watch?v=qUnvjYH9wK4

Were Peter, Paul, Mary home schooled?

They look and sing like mooks.

 

[SteveNYC]

Quote from ForexForex:

Queen - Another One Bites The Dust - Live

<iframe width="560" height="315" src="http://www.youtube.com/embed/9E-WasNzVpI" frameborder="0" allowfullscreen></iframe>

Freddie Mercury has a nice tight ass like I.

Gay guys and women love it.

My gf touches it often. I want to understand why. LOL.