Another Reason why not to trade with distractions and emotions

Discussion in 'Trading' started by JSOP, Apr 17, 2019.

  1. JSOP

    JSOP

    MsFutures, vin2018 and Trader Curt like this.
  2. ajcrshr

    ajcrshr

    He must be new. We would all be trillionaires if we made only correct decisions...
     
  3. Well JSOP@ least he did not blame market makers-every loser has an excuse.LOL IF he really thinks its the baby's fault he has a much bigger trading problem than he thinks LOL:D:D
     
  4. Overnight

    Overnight

    Here's what I don't understand about options, and why the guy panic sold his holding?

    So he says he made a small investment: He took a flyer on 75 April 18 call options with a strike price of 65 for a dime each.

    Then, this week, he unloaded them — at a loss! — right before the news hit; a timing misfire of epic proportions. “I live in Australia, so I am mostly sleeping during U.S. trading hours,” he said. “However, I woke up at 4 a.m. and decided to put a limit sell order of $0.06 on my options to salvage my losses given that only 2 days are remaining till expiry, and went back to sleep.”

    Ouch. Arminoxx, in an exercise in self-flagellation, tallied what he would have made had he slept through the night: $50,000 or a 6,000% gain.


    So he bought $7.50 worth of call options, with the potential to lose $7.50 maximum, but opportunity to gain whatever the price is at expiry?

    Why would one do that? What losses was he "salvaging"?
     
    murray t turtle likes this.
  5. %%
    WELL , cant really read the mind of an option buyer. I cant even read the mind of a male or female insurance agent LOL:D:D

    Dont know it works with options;
    some scale out + in, with liquid markets........................................
     
    Last edited: Apr 17, 2019
  6. smallfil

    smallfil

    We have all made trading mistakes as we are all human. Move on and learn from it. Now, if you keep committing the same mistakes, you will never improve!
     
    murray t turtle likes this.
  7. Robert Morse

    Robert Morse Sponsor

    Honestly, this is a terrible excuse. We live with distractions throughout our entire life. He was ready to get out and his timing was bad...this time. That simple.
     
  8. %%
    Exactly. It may not have helped him; but dollar cost average good ETFs, time in , +trend is your friend.
    My great mom used to drop by my home, many time spontaneous/unplanned ; i finally told her ''MOM when i working on my computer it could take me half an hour or more to answer the door.''
    Its just like my banker dad [ family]told me ''accidents dont just happen son =they are caused'':caution::caution:, :caution::caution::caution::caution::caution::caution:
     
  9. JSOP

    JSOP

    I think he was trying to close them when they still have some values left before they become worthless at expiration, hence "salvage" from total loss cuz s*** was happening and he didn't know major s*** is happening.
     
  10. Overnight

    Overnight

    But his total maximum loss was $7.20?
     
    #10     Apr 17, 2019