One millennial options trader was killing it, then Facebook cost him $180,000

Discussion in 'Options' started by ajacobson, Jul 27, 2018.

  1. ironchef

    ironchef

    Don't cry for me Argentina. He was still up ~ $130K last three months after the drop of $180K.

    upload_2018-7-27_21-25-34.png
    Still better than most.
     
    #11     Jul 28, 2018
  2. ironchef

    ironchef

    A one month ATM options prior to drop (8-31-18 call option @ $215 strike) had a premium of ~$10 on 7-25-18, today it has a premium of $ $0.15.

    Don't tell me you cannot lose this much by buying calls. Earning plays are extremely risky in options.
     
    #12     Jul 28, 2018
  3. Gotcha

    Gotcha

    Fair enough, but do people usually buy this many calls?

    It seems to me that since he made his money very quickly, it wasn't just from buying ATM options. I mean how would he go up so quickly if he is just buying ATM calls? He was probably doing something more exotic than this.
     
    #13     Jul 28, 2018
  4. Pekelo

    Pekelo

    He was YOLOing for 4 months and getting lucky. More balls than brains. Here he explains it:

     
    #14     Jul 28, 2018
  5. ajacobson

    ajacobson

    Ironically now that we see the kind of trades he's making - the fact that he's up doesn't seem to imply out performance. It looks more like luck and poor money management.
     
    #15     Jul 28, 2018
    Clubber Lang likes this.
  6. SumZero

    SumZero

    I always find this line of thinking very strange (and seems quite common). He speaks like if the lost 180K were not his money and all that matters is the profit over the initial amount.
     
    #16     Jul 28, 2018
    Pekelo likes this.
  7. SunTrader

    SunTrader

    Everyone is a genius in a bull market ... until.

    I would expect he will have more big hits to his account in the near future, while trading off his low battery phone LOL.
     
    #17     Jul 28, 2018
  8. Bekim

    Bekim

    They should word it armature options traders holds calls into earnings
     
    #18     Jul 28, 2018
  9. ironchef

    ironchef

    Yes
     
    #19     Jul 28, 2018
  10. ironchef

    ironchef

    Given the choice, I would rather be lucky than be good. Those of us mom and pop retails that trade option profitably in this bull market are also lucky rather than good.
     
    #20     Jul 28, 2018
    spindr0 likes this.