Some of you know my first trade, all those decades ago, was a disaster for me. I lost $50,000 overnight – and it was $50k I could…
ill afford to lose at the time.
Don’t get me wrong, I wouldn’t like it today either…
But, back then it was almost disastrous!
It was in 1989, and I sold naked puts on UAL. It was going to merge with Northwestern at around $200/share.
UAL had been trading around $190.
I sold puts that expired the next day at a $150 strike price.
I just had to wait out one day and I was $1000 richer when the puts expired.
Expiration day the merger was called off, the stock collapsed…
And I lost $50,000!!
I learned a lot from that single trade.
- NO naked trades
- There are no sure things
- Premium collection is great, as long as the trade is great
- NO naked trades (yes I said that twice!)
In this market trade structure is as important as finding great trades.
That’s why we use every option strategy in the books, rather than just one.
I invite you to come aboard and find out why we’re up 14% in a market that is down over 17%!
You can try it out for just $19.
Once you do, you’ll stay forever!