And it seems like too many people here, including you, wanna know who has the biggest dick in town. Yeah, no lies.
There is logic to his madness and it is not luck. Occasionally the market does mispriced some options. Those successful directional option traders know where to find them.
His dropdowns are small because he only allocated 2-5% of his capital the trades yet still 20-50x his money. If anything, he is betting sub-optimally by Kelly and leaving money on the table. I am looking into this more closely. Yeah, he has lost money on some trades but if he can make a 10-50x ROI from the winners, then the P&L is still strongly positive anyway,
I thought he was betting more a while back, but maybe decreased his bet size %-wise since now $100K is a small portion of his account. But it’s very difficult to replicate his success, with the proof being in other people not posting such wins. So “leaving money on the table” is relative because most people blow up using such strategies. Sure some traders may not announce huge wins, but most would. Trading is about passion and winning, not only about quietly collecting money.
BTW, like most people I totally suck comparing to him, but I was in an $SPX options trade that would've made 5000%+ over a month ($15K on a ~$200 investment, though could be scalped at different levels). Then TDA forced me to close it due to too much long Vega. I feel so screwed when I reviewed its perfromance just now. The only risk was in Vega, which was huge in Vega terms, but I didn't have any real serious risk according to my calculations. Here is the risk chart as of today, after it's already $15K higher: And here is one of the margin calls I got from TDA: If I remember correctly, I might've had a similar trade at IBKR in the past without any issues, so I may trade those again there when opportunities show up. Just won't dare to go in with huge size.