Options trading is not as difficult as people are exaggerating it to be, but then without the technical and analytical strategies one can incur so much loss.
Becoming a good trade takes time and patience. When i first got into trading i was liquidated twice, and lost my entire mortgage deposit. I could have given up, but decided to learn how to trade and put it into practice. 4 years later and i am glad i made that decision.
@@gracesdonny1532 I started becoming more consistent in 3 phases, first was when i killed greed, then i became more patient, but he must important part was when i started working with a coach who made me understand the importance of avoiding FUD, FOMO AND HERDS mentality. with her entry and exit strategies i was able to grow $10k to $70k in 5 months in a well diversified portfolio.
I am a financial advisor for the past 41 years, attended hundreds of seminars on money maters. This is the BEST simple, non nonsense learning experience. Thanks a million$$$$
1. when you start feeling invincible, get very, very scared 2. you have to grow into trading large amounts of capital 3. live trading is not the same as back testing 4. be consistent, but don't be foolishly consistent 5. the decision that makes you feel better almost always hurt you 6. successful traders know how to control their losses 7. have a diversification of strategies in time,volatility, price 8. keep it simple 9. practice patience 10. the market whatever it wants, whenever it wants to. (preach)
I will listen to this multiple times a week for the rest of my trading career. It's like the 10 commandments of trading. This wisdom and strategical advice is well grounded.
This was an awesome video. I have traded stocks, bonds and crypto for years. I was a banker for many years. I want to learn options trading before I start throwing good money after bad. These same rules apply all around. Most of my mistakes were mentioned in this video. My personal best lesson(in regards to stock trading) is diversification and to know that you do not sell the couple that are currently down. I remind myself I purchased them for a reason and hold on if I truly purchased them for long term. The others and strategy will carry the portfolio Thank you for this video. It is one of the best I have ever watched.
Most of us tend to pay more attention to the best positions in the market to the cost proper diversification. Picking the best stocks requires a lot of factors and seems daunting for beginners like myself.. From my own point of view, you need to invest smartly.
It's sad that companies only provide 495k in stock markets that crash every 5-10-15 years.. This just steals so much of hard working peoples life savings and it's disgusting. I hate it but you either understand the machine or you are just numb to it when it happens..
Ridiculous , small mind , emotion, panic, ego, childish, discipline, diversify, volatility, patience - very passionate, hard core teacher -- I persevered through and think I learnt a lot 😉
I'm new to options and recently traded (practice account thankfully) 220C 052920 for BABA prior to earnings. Needless to say that it was wiped out pretty fast. I'm glad it actually went to the downside, free lesson to not gamble with earnings.
Best way to play earnings is to research on how a stock moved historically after earnings and then using a Strangle strategy instead of just a Call or Put. I just released a few videos on how you can do that on my channel if you're interested. Strangle will make one of the options expire worthless but the winning option tends to go up exponentially thereby netting you a profit.
False statement by definition: "rule#1 - the market is always right and discounts everything". This means that the only "thing" that can be irrational with respect to the market is "you".
As someone with 4.5 years trading experience I can confirm all of these tips. Personally I was stuck in the turtle mindset most of the time. What broke me out of that was splitting my account in two. I now have a mid to long term stock account with a 50-50 mix of growth and low beta income stocks, and a smaller options account for short spreads and managed condors. Generally when my long term is doing well I don't have to mess with the options and when the market consolidates or dips I can either hedge or make short term trades in the options account. Options buying power represent 1/3 of my total capital and I generally only use half. This leads to comparable moves in both accounts.
Rule number 1: earlier last month I had just started understanding options after trading them for 6 months and was trying a new strategy. I made 3000 in 2 weeks which was the most I've ever made in stocks since I started. I got cock and quadrupled my trade size and had no protecting on a full homedepot call. 2 things I said was wasnt gonna do. I lost 2000 that day and lost disciple and revenge traded my way to negative 4000 over the next 2 weeks. Disciple is the most important skill in stocks
This is gold thank you. Closed all my orders 2 weeks ago for small profits. But i've made mistakes past month, needed a breater to refocus. Now i'm going to start again this monday. With a fresh mind. This video also opened my eyes to 3 points. - keep it simple - patience - discipline and self control Made 35% YTD by selling cash secured puts, covered calls and swing trading high quality dividend stocks nothing to grazy and risky really.
Not sure how i ended up on this gem but wow after getting tired of used car salesman pitches on UA-cam this hit home. Exactly the fundamentals I had been searching for. Thank you very much 🙌
Seth this is amazing and shuffling my brain, as intended I’m sure. Thank you for posting this as well as all of your other videos. I think your presentation is top notch and I have watched you improve in both comfortability and delivery from the earliest videos (which, btw, are still excellent). Looking forward to the next, and next week’s trades!
1. When you feel invincible, be very very scared. 2. Trading large amounts of firm capital is not the same as small amounts of your capital. 3. Back testing is not the same as live trading. 4. Be consistent but don't be foolishly consistent. 5. The decisions you make to "feel better" almost always hurt you. 6. Successful traders know how to lose well. 7. Diversified allocation of capital is best. 8. Keep it simple. 9. Practice Patience. 10. The market can do what it wants to do whatever it wants to.
Been watching alot more of these. Only been options trading a few months. I've learned more from you in the first couple videos than I have learning off these other guys. Amen to you. God Bless. Thanks for all your wisdom.
I already knew most all of that but it cost me a million and half and I still make some of these mistakes. ... one of the most valuable videos ever made Thank you very much!
It's funny...having some personal issues and your advice here applies just the same to real life problems. Best explanation I have seen on UA-cam. New to this and I could relate and understand everything to my core bc it is all simple common sense that we all need to be reminded of, may I add. Thank U!!!
While I don't have a firm grasp of some of the terminologies, common sense can't be ignored and is the ultimate take-away. Clean, straight-forward presentation! Now I don't have to be the guy that says, "what I wish I knew first," or "what I'd do first if I could do it all over again." I'm glad I watched this video before making my first options trade.
I have watched so so so many videos (I CANT KEEP COUNT) since i started last year, and you guys rock! So many valuable information i have found here. THANK YOU!
I started my trading journey this week. I took down all of the points you mentioned. Sounds like good advice. I may have some questions for you later. Thanks!
Thank you! I have saved this video so I can watch it again and get the notes in my trading journal. It is so good to know that what I am dealing with is a natural progression of learning. I have considered irrationally increasing my capital, dreamed of making mega bucks in a few months, even contemplated using margin to expand my capital base, and of course, have experienced the Superman syndrome. All the while there was a voice that said, research, plan, study, learn, and remain calm. Thank you for putting this video together! Just awesome mentorship.
Wonderful advice I've learned the hard way over the years. But, whether you learn it here or learn it through mistakes ... what you say is absolutely true and must be learned to be successful. Bravo! Great video.
very great advice. made 150k in one month felt invincible. third day into the following month i had lost 40k of it. just because i was increasing my trading size.
I'm new to trading but I've gambled for over 20 years. The one thing I have learned over time is the principles you have outlined apply to gambling. It all boils down to discipline.
Trading is not gambling. You will loose alot of money if your going to gamble on the exchange. Trading is reading the market and executing a well thoughtout plan.
Fascinating video. I am an eye surgeon and am about the same age as this gentleman. Much of what he said can be applied to my profession - discipline, not panicking, being prepared for disasters and learning to deal with them when the inevitably occur.
So many pearls of wisdom in this video. Keeping losses small and being disciplined is so key. It really will determine who is consistently profitable or losing money.Thanks for the upload.
Must watch for options traders. Every trader must follow these simple rules to be successful. I wish I would've heard these tips when I had started 3 yrs ago.
I learned the first three lessons as a retail investor. It's good to have them validated but also shows me that I have a lot left to learn. I will say looking at my account being down -75k was a gut wrench. It's coming back. Slowly. I'm sitting on my thumbs. Breathing.
I went live on a new strategy around May 2019, got stopped out of those first positions in the August dip. My position size was according to plan and I back tested the cr@p out the strategy. Not only did I make back the money from that drawdown, I'm making back a chunk of my tuition from the last couple of years when I started trading options seriously. Currently I have a lot of room in my buying power BUT I will stay disciplined and keep my position sizes to plan. Thanks for the video
To be successful in markets, traders should understand the crossover between asset classes & liquidity flow. Julia David focuses on Multi-asset trading, a single strategy to manage risk, profit, and the code or the actual decision-making across multi-asset classes. Her skills set is top notch.
When I start to feel comfortable that the market will be going my way, the market usually shows me that it can do whatever the hell it wants to whenever it wants to. Thank you for sharing the pearls from your experience.
look when you make a good amount of money, withdraw it and start over because there is a good chance that your emotions will get in the way and you will lose those money that you spent a lot of time to get
@@Momojojo24 I would assume is just like gambling..Ur doing good, u get cocky and that's when u lose it all just like that! I guess is a matter of timing..when ur doing great sometimes is best to get out when ur at the top.
I don’t know anything about training. First day in my learning adventure. But I do know how powerful mindfulness is in life. It has literally turned my life 180 degrees from ruin to living. These are powerful concepts
I've only been allowed to write covered calls which are essentially handicapped options. But great to learn about options trading from the seller side. A great segue. I regularly trade in and out of a group stocks with about 600k. Looking forward to options strategies. Hoping it will be great.
Don’t underestimate covered calls. I’ve been trading weekly covered calls and it’s a very consistent strategy. Always learning more details to improve.
A lot of words of wisdom on your part. A couple of things I learned about trading is not to chase the market, that comes under learning patience. I usually have 5 to 6 filled options per week, but when the numbers were not right I stayed out. Another is learning to control your emotions, I know a few traders that just needs to be part of the action and they have made trading errors because of it. I can usually tell when a trader has had some experience in the market when they refer to being in the market as playing instead of trading.
I appreciate you, Seth -- you are quickly becoming the options mentor I've always craved. I also appreciate how you shoot straight. I'm ashamed to admit that I'm not good at losing. One of the issues I've identified in myself is that I'll put a trade on, and then think about choosing my "uncle point." Of course this means I haven't fully thought through the trade prior to entry. This leads me to choose soft stops that I can easily emotionally override. Naturally, my biggest drawdowns occur here, and I'm tired of paying this "tuition" for a class I should have already passed. One thing I'd love to hear more of your wisdom on is stop selection for different types of spreads. It seems like much of the available information pertains to directional stock trading, but because options have more moving parts and spreads have a variety of differing payoff profiles, there's not a perfect transfer of the concepts. Anyway, thanks for all you and SMB do for the trading community! -- David
I agree, Seth... what are the various ways we can define our "STOPs" with sometimes-complex options positions? It sounds like you guys might use total dollar loss, but do you use something like theoretical price off of projected P/L curve via simulated greeks to come up with the bracket / order structure required for protection?
WONDERFUL!!.I am SO grateful that I have found this as I'm just getting ready to begin, Yes. 'begin' after a couple of years of self study. The study was getting me ready for this. I can't thank you enough. 'render unto Caesar!'...namaste'
It took me four years to discover that forecasting the market based on charts is pointless; you never know what will happen. Without a mentor, those four years were miserable. Now, I watch market trends and keep things basic and disciplined. I currently earn an average of $35k every week, despite the fact that I barely trade myself.
I'm new to cryptocurrency and don't understand how it really works. how Can someone know the right approach to investing and making good profits from cryptocurrency investments?
As a beginner investor, it’s essential for you to have a mentor to keep you accountable. Myself, I’m guided by Alex Gomez. A widely known crypto consultant
I started working with Alex Gomez back in June, and my financial goals have never been clearer. It’s like having a strategic partner for my money with a solid track record.
Why the hell didn't i find this earlier?? It was eerie to hear every COSTLY mistake I've made (and made more than once) mentioned in this video. Great information presented in a very straightforward manner by a clearly experienced trader. Thanks for putting this out for us.
You are so right on the constant capital. I've been constantly putting only 1k at once. The moment I put in 2k, and I lost a bit, it was much bigger than doing bad on a 1k investment.
Thanks for a great no BS presentation. I just put on my first options trade today - a covered call on Tesla stock I own and a 1 contract deal just to put my toe in the water. At this point I don't even know what I don't know but am looking forward to an exciting learning curve which will include much more of your videos. The one thing I was thinking while viewing this was thinking how much of this applies to my hobby of poker tournaments. In poker, as in the market, it is a game of incomplete knowledge and you must both be patient and honor or stops (fold) if the situation requires rather than chasing a bad prior decision. Again, great video. Many thanks.
Enjoyed this and took it very seriously, I’m just starting out so it’s currently a “hobby” as I have a full time and a side hustle. I recently closed an iron condor that netted me a nice 42% return on a very small capital investment. I know typically you don’t let iron condors expire but by doing that I was successful as it went in my favor in the end, prior I was ITM and was looking at a full loss. Patience worked extremely well in this scenario and it’s comforting to hear you recommend that. I’m learning as much as possible and would love your recommendation on any reading material or otherwise that may assist me in my “hobby.” Thank you very much for these videos.
I am so new to all of these concepts. I'm opening a TD A account now and learning the TOS platform. I'm thinking primarily of being a value investor but would like to over time fully understand how to use options. Information overload, but it's fun learning.
This first rule speaks to me so well. I had a winning streak 2 times made hundreds of %. Then lost it twice. So nice to hear this. Not an ATM machine. Thank you
@@continuouslylucky9667 maybe take out original investment,then play and let the profit grow,never take a loss ,since its all on money you made on the side and grew.i know its hard knowing the more money you have in the more itll be at the end of the day when markets up ,but slowly.long term things are proven to have great growth so thats what im in for ,long term
I have been actively trading daily for about 3 months and never touched options. I wanted to hear these tips anyway. This really hit every nail on the head even for me. All the tips were great. The tips on capital were the most helpful for me. As I experience new losing scenarios my capital has increased. So seeing those bigger red numbers was 100% making me end the trade early. On the flip side seeing a certain gain, not even a percent but face value became "enough" to exit as well. Long story short I left 60-100k potential profits on the table and gave back a small percent of my total earnings for the month because of it (This was my first "bad" month/reality check). I actually already deployed a back to basics mindset and lowered my daily capital to reinforce trusting my trades which were proving to do well. As I train my brain to work with more capital I will be increasing it at a slower more comfortable pace. Thank you so much for this video!
@Rob W If you are new to options, I STRONGLY suggest that you visit the Options Insider set of apps on Google play or the iStore. The Options Boot Camp is absolutely a must before you spend a dime in options. It gives you an outline of what is critical to know about options before you start. It's all free and incredibly valuable. It will literally save you thousands in losses. I would recommend it to literally all novice traders in the options realm.
@@jazzwinsky if you know nothing, it is a great way to start explains what the basic concepts are. Call, Put, delta,, gamma,, volatility, then progressively integrates into more complicated concepts like spreads,, straddles, strangles, butterfly and condor approaches, wheel trades, risk management, and other integrated, approaches.. I've been at this awhile and I've learned things. They are well versed, engaging and present concepts in short digestible bits. They progressively walk you through the issues and tools as well as present refreshing views on older topics. If you are up for the intellectual challenge of it, it's really enjoyable.
@@theccpisaparasite8813 thank you Sir. I will be checking it out. Most are home anyway with lots of time and nothing challenging to do. This will be good. Thank you
I don't know man, sounds more like spinning the wheel, gotta stay alive in the arena. If your talking total account, not individual position, being reduced to 6% is basically a deathblow, and by financial standards is defined as "reckless", risk management is different than risk tolerance.
Hello, All 10 points are great. Fortunately, I am not a professional trader and have learned almost all of these things on my dime (thousands $$$). But an education that seems to be well worth it. Am just now getting serious about trading and especially selling options. Hobby since 2006 (options trading) I need to learn more styles and about diversification of trades for different aspects of the market. I signed up for the training for tomorrow night. I'm glad I stumbled across your video. Thank you SMB!
everything you said is very helpful ! wise advices. I'm now at my 6th months of trading and I could relate to what you've said! I'm patiently practicing my patience and the control of my emotions! thank you for your video!
Thank you so much for this video. I started day trading from last 3 months. Even though I haven’t done any options Trading till now, every point mentioned here was applicable to me as a day Trader , especially points 1, 3 and 9.. not that the others were any less important.. but these were slightly more weighted for me. I have saved this video as I need to keep this to re-watch it as a reminder. Thank you again for this video.
Damn, I’m a killer with paper money but when I trade my own money I’m a pussy. I’ve made 35% profit with the paper and lost 2% with my own by doing exactly what you said about bailing out to soon.
3:10 Before the video even starts Point 1 - I bought Tesla in Jan 2020 at 450 & sold it at 500. Then it went crazy to 600 - bought back in at 595 then sold at 905 - so that point is wrong Stay disciplined is a better way to state point 1 Point 2 - “Risk Tolerance is a muscle that needs to be built up” is a solid point Point 3 - Take Emotion out of it - correct Point 4 - If ain’t broke don’t fix it. But only idiots don’t adjust or adapt based on real events & information Point 5 - Emotion, specifically fear will fuck you
I almost never bail out of a trade from fear, and end up glad about it. It almost always costs me money. More than 9 times out of 10 I would say. In other words, it usually turns around before the Stop, and hits my target. Ironically, if out of fear of hitting my Stop, I widen my Stop, 9 times out of 10 it blows through my old Stop, and I get Stopped out on the wider Stop. Which tells me that I was obviously thinking way more clearly when I planned the trade than I was when I started fiddling with it while it was in progress. Why? Because I wasn't emotional when I set up the trade. I got emotional (and stupid) while I was staring at it. One way I've learned to prevent these kind of panics is to only glance at higher time frames if I can't help from checking in on a trade. The lower time frame I look at, the more likely I am to turn into a drooling imbecile.
I really appreciate no-nonsense deliveries like these, compared to the style of the endless amounts of gurus who are too flamboyant, and often acting like their way is THE trading way.
![Lp. Сердце Вселенной #60 РОЖДЕНИЕ ЛОЛОЛОШКИ [Финал] • Майнкрафт](http://i.ytimg.com/vi/YoR0pAV9FVQ/mqdefault.jpg)
Ive made so many mistakes in the past but now i will maximize this value qnd turn it to gain. Bloody well done.
Options trading is not as difficult as people are exaggerating it to be, but then without the technical and analytical strategies one can incur so much loss.
@@MichaelWeston-wl2noIt's important to have an in-depth understanding of how to go about it, but when can one exit from option?
Doing ample research, identifying options, setting up the right trade, and forming and sticking to a strategy is what will secure a better lot.
I'm thinking what trading would be if there was no prescribed limit set by the CFTC.
Reach out to Jason Herman Pierce he's an advised pro who will set up and advise on options and swaps.
Becoming a good trade takes time and patience. When i first got into trading i was liquidated twice, and lost my entire mortgage deposit. I could have given up, but decided to learn how to trade and put it into practice. 4 years later and i am glad i made that decision.
When did start finding consistency? ..and more honest question is how long would a rough expectation be to find consistency for a new day trader?
@@gracesdonny1532 I started becoming more consistent in 3 phases, first was when i killed greed, then i became more patient, but he must important part was when i started working with a coach who made me understand the importance of avoiding FUD, FOMO AND HERDS mentality. with her entry and exit strategies i was able to grow $10k to $70k in 5 months in a well diversified portfolio.
@@margaritasbunny How can i get to this person that helped you?
@@gracesdonny1532 @margaritasbunny outta here with your fake account promotions
@@margaritasbunnywhat was your biggest gainer ?
I am a financial advisor for the past 41 years, attended hundreds of seminars on money maters. This is the BEST simple, non nonsense learning experience. Thanks a million$$$$
Ooof. So many words of wisdom here. “Risk tolerance is a muscle that has to be built.” Love that one.
so true!
Unless you’re part of the Reddit Wall Street Bets community
@@l00tur max risk tolerance at day zero buying fds
Petrovich1999 all in on TSLA ALL IN
InCahoots already bro
1. when you start feeling invincible, get very, very scared
2. you have to grow into trading large amounts of capital
3. live trading is not the same as back testing
4. be consistent, but don't be foolishly consistent
5. the decision that makes you feel better almost always hurt you
6. successful traders know how to control their losses
7. have a diversification of strategies in time,volatility, price
8. keep it simple
9. practice patience
10. the market whatever it wants, whenever it wants to. (preach)
So. Sir could u please explain how to cut lossess
Thanks
bhanu prakash getcha sell before option loses even more
bhanu prakash getcha get out
It’s better if you listen to the complete advice rather than looking at a list.
I subscribed, finally a person acting and talking as a professional not some guy trying to entertain me.
interesting
I know , it usually just distracts from the information
anything you can share please , not got enough money for the course now
I will listen to this multiple times a week for the rest of my trading career. It's like the 10 commandments of trading. This wisdom and strategical advice is well grounded.
Biigs Facts jus watched it today been on repeat 4 str8 times about to play it again then do one their webinars at 8pm nyc time
Yes it is...I have not started reading yet...I don't feel i have enough information but this info is a great way to start...
SMB produces the best no BS, no hype options videos. This particular one is extremely compelling. Thank you for your insights.
Yeah they are awesome and on point - I'm super grateful
This is one of the most honest and valuable videos I've seen. You can feel the real world experience. Sit and listen. No hype.
Risk tolerance
Emotional control
Are the two most important in trading stock.
And strategy
and practice patience
This was an awesome video. I have traded stocks, bonds and crypto for years. I was a banker for many years. I want to learn options trading before I start throwing good money after bad. These same rules apply all around. Most of my mistakes were mentioned in this video. My personal best lesson(in regards to stock trading) is diversification and to know that you do not sell the couple that are currently down. I remind myself I purchased them for a reason and hold on if I truly purchased them for long term. The others and strategy will carry the portfolio Thank you for this video. It is one of the best I have ever watched.
Most of us tend to pay more attention to the best positions in the market to the cost proper diversification. Picking the best stocks requires a lot of factors and seems daunting for beginners like myself.. From my own point of view, you need to invest smartly.
It's a sick game but you learn to play or stay poor for life.
It's sad that companies only provide 495k in stock markets that crash every 5-10-15 years.. This just steals so much of hard working peoples life savings and it's disgusting. I hate it but you either understand the machine or you are just numb to it when it happens..
I've been in the shadows for long now i want to know how to invest...
Who would you endorse ?
Vivian Klaine Morgan
Ridiculous , small mind , emotion, panic, ego, childish, discipline, diversify, volatility, patience - very passionate, hard core teacher -- I persevered through and think I learnt a lot 😉
“Be fearful when others are greedy and greedy when others are fearful.” Warren Buffett. Good video, thanks.
I learned an expensive lesson this week. "Do not bet on earnings" it is no different than going to the casino.
if you want to be on r/wallstreetbets then maybe that's something to do but our traders wait until after they are released
I'm new to options and recently traded (practice account thankfully) 220C 052920 for BABA prior to earnings. Needless to say that it was wiped out pretty fast. I'm glad it actually went to the downside, free lesson to not gamble with earnings.
@@michaelwood615 same exact trade bro lol
SMB Capital what about playing the earnings run up 2 weeks before?
Best way to play earnings is to research on how a stock moved historically after earnings and then using a Strangle strategy instead of just a Call or Put. I just released a few videos on how you can do that on my channel if you're interested. Strangle will make one of the options expire worthless but the winning option tends to go up exponentially thereby netting you a profit.
Dave Ramsey out here giving Option advice now? Solid stuff, appreciate you!
🤣🤣🤣
🤣🤣🤣
Fuckin dead🤣🤣🤣
🤣🤣
Thank gosh it's not Dave Ramsey. He would be telling you that its debt do not increase your wealth using this. Only use that 1,000 you have
My all time favorite that always proves to be true....”The market can stay irrational longer than you can stay solvent”.
False statement by definition: "rule#1 - the market is always right and discounts everything". This means that the only "thing" that can be irrational with respect to the market is "you".
As someone with 4.5 years trading experience I can confirm all of these tips. Personally I was stuck in the turtle mindset most of the time. What broke me out of that was splitting my account in two. I now have a mid to long term stock account with a 50-50 mix of growth and low beta income stocks, and a smaller options account for short spreads and managed condors. Generally when my long term is doing well I don't have to mess with the options and when the market consolidates or dips I can either hedge or make short term trades in the options account. Options buying power represent 1/3 of my total capital and I generally only use half. This leads to comparable moves in both accounts.
1
Hey where did you learn how to trade. I am totally new and want to learn?
Rule number 1: earlier last month I had just started understanding options after trading them for 6 months and was trying a new strategy. I made 3000 in 2 weeks which was the most I've ever made in stocks since I started. I got cock and quadrupled my trade size and had no protecting on a full homedepot call. 2 things I said was wasnt gonna do. I lost 2000 that day and lost disciple and revenge traded my way to negative 4000 over the next 2 weeks. Disciple is the most important skill in stocks
discipline , discipline yourself to learn how to spell hee hee
I did this twice now the second time was yesterday have you gotten better
This is gold thank you. Closed all my orders 2 weeks ago for small profits. But i've made mistakes past month, needed a breater to refocus. Now i'm going to start again this monday. With a fresh mind. This video also opened my eyes to 3 points.
- keep it simple
- patience
- discipline and self control
Made 35% YTD by selling cash secured puts, covered calls and swing trading high quality dividend stocks nothing to grazy and risky really.
awesome! sometimes it's best to keep things simple and stick with things you know well
Not sure how i ended up on this gem but wow after getting tired of used car salesman pitches on UA-cam this hit home. Exactly the fundamentals I had been searching for. Thank you very much 🙌
Seth this is amazing and shuffling my brain, as intended I’m sure. Thank you for posting this as well as all of your other videos. I think your presentation is top notch and I have watched you improve in both comfortability and delivery from the earliest videos (which, btw, are still excellent). Looking forward to the next, and next week’s trades!
1. When you feel invincible, be very very scared.
2. Trading large amounts of firm capital is not the same as small amounts of your capital.
3. Back testing is not the same as live trading.
4. Be consistent but don't be foolishly consistent.
5. The decisions you make to "feel better" almost always hurt you.
6. Successful traders know how to lose well.
7. Diversified allocation of capital is best.
8. Keep it simple.
9. Practice Patience.
10. The market can do what it wants to do whatever it wants to.
Always appreciate the no BS videos. They've helped me sort my head out.
Great!
Emotions are 50% of the success of any trading system. That makes sense.
you get it then :)
Best PROFESSIONAL trader video i've ever seen. Trading p/t since 1996
I can't thank you enough for your advice. I watch this video every Sunday to stay rooted. This deserves WAY more views and likes than it currently has
thx Jake!
Been watching alot more of these. Only been options trading a few months. I've learned more from you in the first couple videos than I have learning off these other guys. Amen to you. God Bless. Thanks for all your wisdom.
“Risk tolerance is a muscle that’s needs to be built” 💯
i think my risk tolerance muscle is too big
100%
Or risk the rope
That quote really stuck out 👌🏿
I already knew most all of that but it cost me a million and half and I still make some of these mistakes. ... one of the most valuable videos ever made Thank you very much!
It's funny...having some personal issues and your advice here applies just the same to real life problems. Best explanation I have seen on UA-cam. New to this and I could relate and understand everything to my core bc it is all simple common sense that we all need to be reminded of, may I add. Thank U!!!
While I don't have a firm grasp of some of the terminologies, common sense can't be ignored and is the ultimate take-away. Clean, straight-forward presentation! Now I don't have to be the guy that says, "what I wish I knew first," or "what I'd do first if I could do it all over again." I'm glad I watched this video before making my first options trade.
Well said, “risk tolerance is a muscle that has to be built.”
THANK YOU! You rarely hear this kind of clear voice of wisdom. Patience - that's probably my greatest challenge right now.
"risk tolerance is a muscle that has to be built" SO TRUE
I have watched so so so many videos (I CANT KEEP COUNT) since i started last year, and you guys rock! So many valuable information i have found here. THANK YOU!
I started my trading journey this week. I took down all of the points you mentioned. Sounds like good advice. I may have some questions for you later. Thanks!
How have you been holding up?
How has it been so far
He cant answer. Got his phone repo'd. 🤣
@@socalbengal3087 hahahaas oh my goshhhhh!!!! Funtay!!!!!
Thank you! I have saved this video so I can watch it again and get the notes in my trading journal. It is so good to know that what I am dealing with is a natural progression of learning. I have considered irrationally increasing my capital, dreamed of making mega bucks in a few months, even contemplated using margin to expand my capital base, and of course, have experienced the Superman syndrome. All the while there was a voice that said, research, plan, study, learn, and remain calm. Thank you for putting this video together! Just awesome mentorship.
27:34 is such a brilliant yet simple take on losing.
Wonderful advice I've learned the hard way over the years. But, whether you learn it here or learn it through mistakes ... what you say is absolutely true and must be learned to be successful. Bravo! Great video.
very great advice. made 150k in one month felt invincible. third day into the following month i had lost 40k of it. just because i was increasing my trading size.
you learned an important lesson there
I'm new to trading but I've gambled for over 20 years. The one thing I have learned over time is the principles you have outlined apply to gambling. It all boils down to discipline.
trading and gambling are very similar. Except with more risk management.
Indeed Jimbo.
What kind of gambling are we talking about?
Trading is not gambling. You will loose alot of money if your going to gamble on the exchange. Trading is reading the market and executing a well thoughtout plan.
@@qwertyuiopasdfghjkl2556
What is success ratio of your trades?
800 to 2500 a week ago back to 800 follow rule number 1 and keep pos sizes the same i will burn this in my brain
Fascinating video. I am an eye surgeon and am about the same age as this gentleman. Much of what he said can be applied to my profession - discipline, not panicking, being prepared for disasters and learning to deal with them when the inevitably occur.
I like your shirt a lot and the way you kept your posture for about an hour. Knowledge you gave was always as good as it can.
No reading from a script or cuts because he knows what he is talking about
These forty minutes are worth more than 40 great books on trading. Very informative & pragmatic.
So many pearls of wisdom in this video. Keeping losses small and being disciplined is so key. It really will determine who is consistently profitable or losing money.Thanks for the upload.
You really understood the video, Alex.
This Guy is an Old Warrior, The Real Deal !!! Street Smart with real experience... New Subscriber...
This video is lowkey roasting me in every way but it's a nice wakeup call haha
Whiyu hows your portfolio now?
I just thought of Michael Scott storming off the stage
Yuuppp every point is cutting me deep.
same man same
Call :))
Must watch for options traders. Every trader must follow these simple rules to be successful. I wish I would've heard these tips when I had started 3 yrs ago.
I learned the first three lessons as a retail investor. It's good to have them validated but also shows me that I have a lot left to learn. I will say looking at my account being down -75k was a gut wrench. It's coming back. Slowly. I'm sitting on my thumbs. Breathing.
Learning is a process. As long as you can get good habits started then you can set yourself up for success
How are you getting that much
@@onlypacks7033 I go to work every morning and someone gives me money for it.
I went live on a new strategy around May 2019, got stopped out of those first positions in the August dip. My position size was according to plan and I back tested the cr@p out the strategy. Not only did I make back the money from that drawdown, I'm making back a chunk of my tuition from the last couple of years when I started trading options seriously. Currently I have a lot of room in my buying power BUT I will stay disciplined and keep my position sizes to plan. Thanks for the video
Keep it up Daniel!
To be successful in markets, traders should understand the crossover between asset classes & liquidity flow. Julia David focuses on Multi-asset trading, a single strategy to manage risk, profit, and the code or the actual decision-making across multi-asset classes. Her skills set is top notch.
I'm surprised you know her too, I've been making a lot of profit investing with her for a few month now.
Wow, amazing to see others who trade with Julia David, I'm currently on my 5th trade with her and my portfolio has grown tremendously.
You invest with Julia too? Wow that woman has been a blessing to me and my family.
How can i get intouch with her, i'm new to this
I was skeptical at first until i decided to try. Its huge returns are awesome, can't say much
this gold every trader should be required to watch this thank you!!!
Seth, thanks for the valuable FREE content, I really appreciate you for it!
My pleasure Luis.
When I start to feel comfortable that the market will be going my way, the market usually shows me that it can do whatever the hell it wants to whenever it wants to. Thank you for sharing the pearls from your experience.
look when you make a good amount of money, withdraw it and start over because there is a good chance that your emotions will get in the way and you will lose those money that you spent a lot of time to get
Been there, absolutely true.
Doesn’t that take you out of better trades and place you back under PDT?
New to this and that was one of my main questions nobody addresses, or at least that I have seen or not seen. Thank U!!!
@@Momojojo24 I would assume is just like gambling..Ur doing good, u get cocky and that's when u lose it all just like that! I guess is a matter of timing..when ur doing great sometimes is best to get out when ur at the top.
Very true
I don’t know anything about training. First day in my learning adventure. But I do know how powerful mindfulness is in life. It has literally turned my life 180 degrees from ruin to living. These are powerful concepts
Things I learned is to place a protective stop, control my emotions and and slowly size up over time.
sounds like a solid plan Cali.
I felt the tips are very practical not only for option but for anything. Thanks sir for sharing.
I've only been allowed to write covered calls which are essentially handicapped options. But great to learn about options trading from the seller side. A great segue. I regularly trade in and out of a group stocks with about 600k. Looking forward to options strategies. Hoping it will be great.
Don’t underestimate covered calls. I’ve been trading weekly covered calls and it’s a very consistent strategy. Always learning more details to improve.
This is probably the best video of all the videos on this channel.
This is one of the best videos I ever seen. Thank you for putting it together. Great great advice!
A lot of words of wisdom on your part. A couple of things I learned about trading is not to chase the market, that comes under learning patience. I usually have 5 to 6 filled options per week, but when the numbers were not right I stayed out. Another is learning to control your emotions, I know a few traders that just needs to be part of the action and they have made trading errors because of it. I can usually tell when a trader has had some experience in the market when they refer to being in the market as playing instead of trading.
I appreciate you, Seth -- you are quickly becoming the options mentor I've always craved. I also appreciate how you shoot straight. I'm ashamed to admit that I'm not good at losing. One of the issues I've identified in myself is that I'll put a trade on, and then think about choosing my "uncle point." Of course this means I haven't fully thought through the trade prior to entry. This leads me to choose soft stops that I can easily emotionally override. Naturally, my biggest drawdowns occur here, and I'm tired of paying this "tuition" for a class I should have already passed. One thing I'd love to hear more of your wisdom on is stop selection for different types of spreads. It seems like much of the available information pertains to directional stock trading, but because options have more moving parts and spreads have a variety of differing payoff profiles, there's not a perfect transfer of the concepts. Anyway, thanks for all you and SMB do for the trading community! -- David
I agree, Seth... what are the various ways we can define our "STOPs" with sometimes-complex options positions? It sounds like you guys might use total dollar loss, but do you use something like theoretical price off of projected P/L curve via simulated greeks to come up with the bracket / order structure required for protection?
WONDERFUL!!.I am SO grateful that I have found this as I'm just getting ready to begin, Yes. 'begin' after a couple of years of self study. The study was getting me ready for this. I can't thank you enough. 'render unto Caesar!'...namaste'
It took me four years to discover that forecasting the market based on charts is pointless; you never know what will happen. Without a mentor, those four years were miserable. Now, I watch market trends and keep things basic and disciplined. I currently earn an average of $35k every week, despite the fact that I barely trade myself.
I'm new to cryptocurrency and don't understand how it really works. how Can someone know the right approach to investing and making good profits from cryptocurrency investments?
As a beginner investor, it’s essential for you to have a mentor to keep you accountable. Myself, I’m guided by Alex Gomez. A widely known crypto consultant
I'm surprised that this name is being mentioned here, I stumbled upon one of his clients testimonies on CNBC news last week...
I started working with Alex Gomez back in June, and my financial goals have never been clearer. It’s like having a strategic partner for my money with a solid track record.
I'm a beginner please how can i reach out Alex Gomez
Why the hell didn't i find this earlier?? It was eerie to hear every COSTLY mistake I've made (and made more than once) mentioned in this video. Great information presented in a very straightforward manner by a clearly experienced trader. Thanks for putting this out for us.
⬆Appreciate your audience! For supporting I'll share with you some beneficial insight. Let's converse with the number above ⬆,.,..
You are so right on the constant capital. I've been constantly putting only 1k at once. The moment I put in 2k, and I lost a bit, it was much bigger than doing bad on a 1k investment.
Hey man I want to learn and do trading with the amount you mentioned. Where do I learn how to trade? I am very new to this.
Thanks for a great no BS presentation. I just put on my first options trade today - a covered call on Tesla stock I own and a 1 contract deal just to put my toe in the water. At this point I don't even know what I don't know but am looking forward to an exciting learning curve which will include much more of your videos. The one thing I was thinking while viewing this was thinking how much of this applies to my hobby of poker tournaments. In poker, as in the market, it is a game of incomplete knowledge and you must both be patient and honor or stops (fold) if the situation requires rather than chasing a bad prior decision. Again, great video. Many thanks.
Enjoyed this and took it very seriously, I’m just starting out so it’s currently a “hobby” as I have a full time and a side hustle.
I recently closed an iron condor that netted me a nice 42% return on a very small capital investment.
I know typically you don’t let iron condors expire but by doing that I was successful as it went in my favor in the end, prior I was ITM and was looking at a full loss.
Patience worked extremely well in this scenario and it’s comforting to hear you recommend that.
I’m learning as much as possible and would love your recommendation on any reading material or otherwise that may assist me in my “hobby.”
Thank you very much for these videos.
I am so new to all of these concepts. I'm opening a TD A account now and learning the TOS platform. I'm thinking primarily of being a value investor but would like to over time fully understand how to use options. Information overload, but it's fun learning.
Seth is such a beaut!! I'll be watching this vid every time I have to go to trading- timeout.
Thanks Johnson.
Nice idea
Should be entered into the Options Teachers' Hall of Fame - practical advice over and above pure theory!
Wow. Great video. Only been trading for a few months and this video made so much sense.
i keep saying it but this channel provides so much value. thank you.
we appreciate it!
Thank you for the words of wisdom there's a lot to learn here.
This first rule speaks to me so well. I had a winning streak 2 times made hundreds of %. Then lost it twice. So nice to hear this. Not an ATM machine. Thank you
I don't get scared when I am down but get so nervous 😬 when I am up
When. Do. I. Take. Profits!?!?!
THISSSSSSSS
@@continuouslylucky9667 maybe take out original investment,then play and let the profit grow,never take a loss ,since its all on money you made on the side and grew.i know its hard knowing the more money you have in the more itll be at the end of the day when markets up ,but slowly.long term things are proven to have great growth so thats what im in for ,long term
I have been actively trading daily for about 3 months and never touched options. I wanted to hear these tips anyway. This really hit every nail on the head even for me. All the tips were great. The tips on capital were the most helpful for me. As I experience new losing scenarios my capital has increased. So seeing those bigger red numbers was 100% making me end the trade early. On the flip side seeing a certain gain, not even a percent but face value became "enough" to exit as well. Long story short I left 60-100k potential profits on the table and gave back a small percent of my total earnings for the month because of it (This was my first "bad" month/reality check). I actually already deployed a back to basics mindset and lowered my daily capital to reinforce trusting my trades which were proving to do well. As I train my brain to work with more capital I will be increasing it at a slower more comfortable pace. Thank you so much for this video!
@Rob W If you are new to options, I STRONGLY suggest that you visit the Options Insider set of apps on Google play or the iStore. The Options Boot Camp is absolutely a must before you spend a dime in options. It gives you an outline of what is critical to know about options before you start. It's all free and incredibly valuable. It will literally save you thousands in losses. I would recommend it to literally all novice traders in the options realm.
@@theccpisaparasite8813 you recommend the above info. Is it a guide on how to start in options s a new trader?
@@jazzwinsky if you know nothing, it is a great way to start explains what the basic concepts are. Call, Put, delta,, gamma,, volatility, then progressively integrates into more complicated concepts like spreads,, straddles, strangles, butterfly and condor approaches, wheel trades, risk management, and other integrated, approaches.. I've been at this awhile and I've learned things. They are well versed, engaging and present concepts in short digestible bits. They progressively walk you through the issues and tools as well as present refreshing views on older topics. If you are up for the intellectual challenge of it, it's really enjoyable.
@@theccpisaparasite8813 thank you Sir. I will be checking it out. Most are home anyway with lots of time and nothing challenging to do. This will be good. Thank you
@@jazzwinsky Glad to be of some small service.👍
So many of these are lessons I've learned the hard way!
This resonates with me very strongly.
I started to understand some basics about binary options after your videos! thx
awesome!
Guess I have Marine training on risk tolerance then. I've suffered a 94% drawdown at one point but now up 40% for 2021.
I don't know man, sounds more like spinning the wheel, gotta stay alive in the arena. If your talking total account, not individual position, being reduced to 6% is basically a deathblow, and by financial standards is defined as "reckless", risk management is different than risk tolerance.
This is the best UA-cam video I've watched about stocks.
I wish I see this video before I start trading. Everything got me right in this video
This was the very best most informitive video I've watched out of 100's online. Thank you sir.
Glad it was helpful!
Extending my thanks for the lessons. Much appreciated.
Thanks Bosco.
Hello, All 10 points are great. Fortunately, I am not a professional trader and have learned almost all of these things on my dime (thousands $$$). But an education that seems to be well worth it. Am just now getting serious about trading and especially selling options. Hobby since 2006 (options trading) I need to learn more styles and about diversification of trades for different aspects of the market. I signed up for the training for tomorrow night. I'm glad I stumbled across your video. Thank you SMB!
It helps to keep emotions in check when it comes to drawdowns.
To be fair, that one is pretty useful in every single aspect of life.
everything you said is very helpful ! wise advices. I'm now at my 6th months of trading and I could relate to what you've said! I'm patiently practicing my patience and the control of my emotions! thank you for your video!
Good stuff! keep at it
Seth - A very valuable video. Thank you for your advice and insight
Thanks Keith
SMB Capital looking forwaed to attending your training today.
Our pleasure.
Thank you so much for this video. I started day trading from last 3 months. Even though I haven’t done any options Trading till now, every point mentioned here was applicable to me as a day Trader , especially points 1, 3 and 9.. not that the others were any less important.. but these were slightly more weighted for me. I have saved this video as I need to keep this to re-watch it as a reminder. Thank you again for this video.
Damn, I’m a killer with paper money but when I trade my own money I’m a pussy. I’ve made 35% profit with the paper and lost 2% with my own by doing exactly what you said about bailing out to soon.
Keep things small at first Josh until you can get into the swing of it and build your size up from there!
We have to recognize how we act on the SIM when we are killing it and apply it to live trading.
3:10 Before the video even starts
Point 1 - I bought Tesla in Jan 2020 at 450 & sold it at 500. Then it went crazy to 600 - bought back in at 595 then sold at 905 - so that point is wrong
Stay disciplined is a better way to state point 1
Point 2 - “Risk Tolerance is a muscle that needs to be built up” is a solid point
Point 3 - Take Emotion out of it - correct
Point 4 - If ain’t broke don’t fix it. But only idiots don’t adjust or adapt based on real events & information
Point 5 - Emotion, specifically fear will fuck you
I almost never bail out of a trade from fear, and end up glad about it. It almost always costs me money. More than 9 times out of 10 I would say. In other words, it usually turns around before the Stop, and hits my target. Ironically, if out of fear of hitting my Stop, I widen my Stop, 9 times out of 10 it blows through my old Stop, and I get Stopped out on the wider Stop. Which tells me that I was obviously thinking way more clearly when I planned the trade than I was when I started fiddling with it while it was in progress. Why? Because I wasn't emotional when I set up the trade. I got emotional (and stupid) while I was staring at it.
One way I've learned to prevent these kind of panics is to only glance at higher time frames if I can't help from checking in on a trade. The lower time frame I look at, the more likely I am to turn into a drooling imbecile.
What stop % do you use for options?
I really appreciate no-nonsense deliveries like these, compared to the style of the endless amounts of gurus who are too flamboyant, and often acting like their way is THE trading way.
Don't make trading the most important part of your life. But give it enough time to rest as much as possible.
Thank you sir for an exceptionally helpful tutorial on options trading. I will be looking into your seminar.
Glad it was helpful!
he kinda felt like the dad i needed
Man, one of the best realist options videos I've ever seen... 👀👀👀