Revealed: How to Rebound From a Terrible Trade

Revealed: How to Rebound From a Terrible Trade

Posted On February 22, 2021 2:05 pm

On the 28th of last month, I sent a recommendation to my Options360 subscribers for a position in FB.  

The very next day, the stock broke badly and we had to adjust.  

I knew it was possible the stock might go against us, but I didn’t think it would be so soon or so drastic.  

We made the adjustments and I kept monitoring the stock closely.  

It’s always bad when a stock goes against you, but when it happens as quickly and drastically as in this trade…

Well, you just hunker down and wait for the worst. 

But remember what I always preach about monitoring and managing positions, because this terrible trade is a perfect example of what can happen. 

After the adjustment, we were on the right side of the trade, and on the 18th of February, we exited the trade for a 35% gain in just 21 days

It’s not a superstar trade, but being able to keep a calm head and properly manage the trade turned a massive loser into a respectable winner. 

This week I am looking at some of the cyclical stocks from the last commodity supercycle.   

You can find out what I am looking to buy this week by grabbing your $19 trial subscription to Options360

To Your Success,


PS.  I’m really excited about the trades for this week, but you could miss them if you don’t click here now and grab your trial subscription.  


About author

Steve Smith

Steve Smith have been involved in all facets of the investment industry in a variety of roles ranging from speculator, educator, manager and advisor. This has taken him from the trading floors of Chicago to hedge funds on Wall Street to the world online. From 1987 to 1996, he served as a market maker at the Chicago Board of Options Exchange (CBOE) and Chicago Board of Trade (CBOT). From 1997 to 2007, he was a Senior Columnist and Managing Editor for TheStreet.com, handling their Option Alert and Short Report newsletters. The Option Alert was awarded the MIN “best business newsletter” in 2006. From 2009 to 2013, Smith was a Senior Columnist and Managing Editor for Minyanville’s OptionSmith newsletter, as well as a Risk Manager Consultant for New Vernon Capital LLC. Smith acted as an advisor to build models and option strategies to reduce portfolio exposure and enhance returns for the four main funds. Since 2015, he has worked for Adam Mesh Trading Group. There, he has managed Options360 and Earning 360, been co-leader of Option Academy, and contributed to The Option Specialist website.