Holy Mackerel Did Yesterday’s Article Cause a Fuss…

Holy Mackerel Did Yesterday’s Article Cause a Fuss…

Posted On March 2, 2022 1:41 pm

Yesterday I sent an article entitled “Oversold Not a Reason to Buy.”

After the article went out, we got flooded with responses over one line in particular…

Full Disclosure: Options360 just closed a bullish position in Capital One Financial (COF) for a 47% loss.”  

Within minutes the smart alec emails came flying back…

“Holy Toledo, Steve admits to a losing trade?”

“I can’t believe Options360 finally admitted to a losing trade.”

And there were some questions that might have been legitimate, like…

“If you lost 47% of your money on a single trade, why would I want to join this service?”

So let me address the smart alecs and the legitimate questions right here and right now. 

First about my track record claims. 

More than 90% of the times that I mention our track record I give you are overall ROI for the year or YTD.  That number includes winners and losers.  

Occasionally I share a single trade win or loss – but a single trade is not a measurement of how the service is doing as a whole…

Giving overall results (including winners and losers) over a longer time frame is far more accurate. 

So when I say that we had an 82% ROI in 2021, that means we started 2021 with a $10,000 trading account and ended with $18,200 in the account.  That includes winners and losers.  

Same with 2019 when we were up 77%. 

Jan 1st 2019 = $10,000 in the model portfolio, Dec 31st, 2019 = $17,700 in the model portfolio. 

Same in 2015, when we did 125% ROI

Begin with $10,000 and end with $22,500.

[Special Deal] Claim your $19 trial offer into the unique trading service that’s delivered its members HIGH RETURNS every single year since inception — The Options360!  

You get the point I hope.  

I reset the model portfolio to $10,000 every year, so we can easily keep track of the yearly ROI.  

You can follow the trades by scaling them for the amount of your portfolio.  

So if you have $100,000 earmarked for Options360, you can trade 10 times the positions I recommend.  

If you have $5000, trade half the position sizes.  

Either way, you can mirror ROI for the Options360 model portfolio just by scaling. 

Claim your spot in the Options360 Concierge Trading Service for only $19 before it is too late — *no long-term commitment required*

Now to the question of losing 47% of the model portfolio on just one trade…

We didn’t.  We lost 47% of THAT trade – however, we only had $734 at risk.  

If you thought that we lost 47% of our model portfolio on a single trade, then I am begging you to learn about position sizing.  

I would NEVER put 100% (or 50% or 25% or even 10%) of my entire allocated trading account on a single position.  To do so would be stupid on my part and rise to the level of malpractice for my subscribers.

So even though we took a serious haircut on that particular position – we are still in line for a fantastic year. 

I have said it before and I will say it again…

I expect 2022 to be one of, if not THE, best year ever in Options360.  

It’s time you found out why…

Click here and claim your trial subscription now!

To Your Success,



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.