Hi guys, Welcome to the Advanced Video Search Engine, and you are watching Option Trading Mistakes Beginners Make (Watch Before Investing!). That video is uploaded by Pandrea Money at 2021-12-27T15:00:12-08:00. We are promoting this video only for entertainment and educational purpose only. So, I hope you like & enjoy it. [f1ZeDmDMt8o]
| Name | Option Trading Mistakes Beginners Make (Watch Before Investing!) |
| Video Uploader | Video From Pandrea Money |
| Upload Date | This Video Uploaded At 27-12-2021 23:00:12 |
| Video Discription | Option trading mistakes all beginners make and how to make money. 🔸GET A FREE STOCK w/ PUBLIC.com : https://pblc.co/pandreafinance 🔸Get 2 FREE Stocks w/ Webull : https://a.webull.com/i/PandreaFinance 🔸Free Stock and Paper Trade w/ Moomoo (deposit $100): https://j.moomoo.com/007xo6 🔸Get up to $250 of Crypto w/ BlockFi: https://blockfi.mxuy67.net/n1yXjR 🔸Earn Crypto w/ Coinbase: https://coinbase-consumer.sjv.io/oeOBze MY INSTAGRAM: https://www.instagram.com/alexpandrea/ Mistake 1: Options is like a war between the buyer and seller - each one makes their plan of attack, how and when they intent to enter the battle, and what their strategy is along the way. The spoils rewarded to the one with the best strategy and possibly a bit of luck - but rarely can you jump into a trade and expect to win consistently without having a strategy that favors you. Mistake 2: We’ve all done it, going all in - betting it all on red - now if you’ve made this mistake chances are you quickly learned from it and hopefully fixed it, having no other choice- of course some never learn. ANYWAY, trading with too big a percentage of your portfolio on 1 idea is one of the worst mistakes you can make because you will blow up your account and then won’t have any money left to make any further mistakes. Mistake 3: Trading is hard enough - why complicate it with too many positions? As one person, you can only manage so much - especially when it comes to options. You need to make sure you are not overwhelmed by the amount of positions you take on that you can’t properly give each the attention it deserves. Even when building your stock portfolios, I see people try to buy 100 different stocks when all you need is around 10. Mistake 4: The one important thing we must start to realize sooner rather than later is that there is a difference between investing, and gambling. The unfortunate truth is a lot of people don’t have the patience to invest so they turn to gambling and speculation - and one of the most popular forms of speculation is buying weekly options. Mistake 5: You get in a trade and when it comes time to sell you realize you got nobody to sell to. I learned this lesson the hard way I’m afraid when I was first learning about options and messing around with some low volume calls. In this section we look at some examples on the ROBINHOOD App Mistake 6: There is an overwhelming trend in the stock market to do the opposite of what you’re supposed to be doing - have you ever noticed this? You would think buy low sell high would be something easy to follow but you see it all the time - they buy into the hype at the top and then would panic and sell when prices are at a low. These emotional decisions will also affect you when trading options - more specifically in managing your trades. This is by far the best tip that I learned over the years of trading options myself - and that is to let your winners ride, and cut your losses short. Mistake 7: When you find something that works you have to stick to that for as long as possible. Too often I see investors and traders all over the place with their investing - maybe you’ve experienced this yourself - one week you want to buy calls the next week you say hmm I want to sell some puts. If you are not consistent with your strategy your gains will be just as big of a mess Mistake 8: One of the most important things you need to understand when it comes to option trading is implied volatility and how it affects option prices. This is the key in my opinion to profit. If you understand implied volatility you can make money with options. When implied volatility is high then the options premium is high. This is important to know because when buying options you are risking buying very expensive options. When implied volatility decreases, well that in turn causes the option prices to decrease. So what happens when you buy a call, and IV is high - and then IV goes down? Your option will go down and you’ll lose money. Mistake 9: If you are serious about investing, trading, learning options, do yourselves a favor and invest first in a notebook. This will help you out immensely when it comes to all the rules I mentioned in this video by not only following them but spotting mistakes you might make along the way. Maybe you don’t realize you are trading too many positions or not being as consistent as possible until you put it down on paper and review yourself. My personal preference is to physically right down instead of using spread sheets or anything digital. I write down my plans for the month, the trades I enter, my exit strategy, and keep track of them on 1 page. I am not a financial advisor - none of the above video is meant to be taken as investment advice. I am just showcasing MY own strategy and my investments should not be tried and duplicated based solely off the information in this video for risk of losing money. f1ZeDmDMt8o |
| Category | Education |
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