When all around you hear about fortunes being made in Tesla (TSLA), or anything crypto-related, it becomes tough to stick with your knitting basic trading. The word ”basic” itself has now become a pejorative label for someone who doesn’t know what’s going on.
Admittedly, I have no idea what’s going on within many pockets of various asset groups; so call me basic. Just don’t call me ”extra,” which is apparently the term for someone who’s overly dramatic.
[Special Offer] Click here and take your test drive to the Options360 concierge trading service.
Did I do good using those terms, fellow young people?
I guess the point I want to get across is at this stage of my trading/investing career, I’m not interested in reinventing myself. I always want to learn and will continue to stay on top of news and trends as best I can. However, I ultimately need to stick to my knitting of finding quality setups and taking my gains and losses as they come and go.
A recent example of that is an Options360 trade where I took a bullish position in Advanced Micro Devices (AMD) yesterday. Here was the setup described in the Alert sent to members.
AMD had blowout earnings last week but the stock responded with a “meh.”
The company is positioned to benefit from autos to the metaverse.
It has now retested the old high reversal around $118ish and today has a nice igniting candle.
[$19 Blowout Sale] Access the top-secret trading techniques you need to profit in Options Trading.
I sent an Alert to buy the 120/124 diagonal call spread for $3.30 debit.
The stock popped above $127 today, pushing the spread fully in the money. I sent an alert this morning to close the position for a $4.00 credit, which can be described as a first-class problem for a mere 17.5% overnight gain. Do I wish I structured the trade differently? Maybe. Do I compare it to all the fortunes supposedly being made in TSLA call options and NFTs of bored apes? As much as I love my primate brethren, that is not a place I want to trade. Look at what happened with the Squid Games tokens, which pumped and dumped “investors” to the tune of $250 million in just three days.
A key investor trait is the ability to change your mind while not letting it be polluted by the notion that every trade should be a home run. “Staying power” is crucial. I’ve felt FOMO (fear of missing out) at various points this year. But, then I look at my results, with Options360 up some 53% year-to-date. That’s okay with me. Maybe you don’t get headlines hitting singles and doubles (rather than home runs). However, if you do it consistently, for a long enough period, you can end up in the Hall of Fame.