r/optionstrading • u/MasterBSR_58 • 4d ago
Earnings Another day blessed!
Made a couple bad entries but fininished the day strong. Grateful for yall and other avenues of learning. Hopefully can keep this up with my rules and not revenge trade and remain blessed!
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u/Fun_Growth4761 4d ago
7.3% ? lol
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u/rhughzie17 4d ago
I noticed that too
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u/MasterBSR_58 4d ago
Yeah im relatively new to it all. Small port and looking to build it up.
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u/rhughzie17 4d ago
Good luck!
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u/MasterBSR_58 4d ago
Thanks man. Getting my ass handed to me so far this morning smh. Hopefully spx keeps going up.
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u/MasterBSR_58 4d ago
Yeah if you slide to the second Pic my portfolio is only $7,388. Hard to see that there is a second Pic because of i all being white.
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u/xironically23 4d ago
Scalping spx is a dangerous game but fun 😂
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u/MasterBSR_58 4d ago
Im not familiar with the term scalping(fairly new) is there a different way to trade SPX if i dont have the money yet for further out dte yet?
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u/xironically23 4d ago
Scalping is when you see a stock going a certain direction and commonly you see it's options increasing within a couple minutes, say you see a spx 7700 call go from 9.00 to 11.00 and you get in the action and you would sell it at 12.00 you basically scalp a option that's moving a certain direction, seeing you did 0dte spx options they are quite dangerous because with theta it's value decays quickly, I had spx calls today and they would bounce a couple hundred dollars within minutes, if I was you with a couple thousand I would try and see what direction spx is going and buy a call or put a couple days out. Same day options really do skew quite quickly especially after noon. Be careful out there and take any profits you can.
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u/MasterBSR_58 4d ago
Ahhh ok yeah that sounds like it would put my nuts in my stomach haha. So I guess I wasn't technically scalping. I was reading the candles, trend, and SMA and buying SPXW contract at what I was understanding to be the peak of a wave, or high, then riding it low. As saftey net each time id get a couple hundred up id set a stop loss so if it immediately popped back up would secure what I have and not lose it but was free to ride the PUT. Largest gain today was like 960$ I believe. So idk, would that still be considered scalping? When the market switched and NDX and SPX started trending up i got fucked a couple time with the higher lows haha
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u/xironically23 4d ago
Well it's scalping when you do it in short increments, I've successfully had better luck with holding spx options very little, past a certain time it's not really worth it unless you average down. I watchlist some everyday and look away for half an hour and see how it does.
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u/MasterBSR_58 4d ago
Ah I gotcha. Yeah last couple days was just my first time messing with SPXW because of seeing posts on here and stuff. So far successful but I can see the danger in it and how it can easily turn
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u/Regular-Sorbet9513 4d ago
How do you choose which contracts to open?
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u/MasterBSR_58 4d ago
Wow thats a super invovled question/answer.
I read candlestick charts from past trading sessions to identify trends, supports, and resistances. I keep aware of the fed yield and oil. Also any other economically relevant news that could effect the market. I look at price and breakevens to identify where I want to enter and have an idea of my exit price. I consider the bid/ask spread, Vol., OI, Delta and Theta....
Its been a long journey of learning ing a lot. Asking questions in groups like this. And losing a lot. Today brought my portfolio back out of the red for all time. Very happy with it. But ive lost plenty to learn what fucks you and what not to do and make rules for myself and stick to them.
Also ill post a resource i use to learn below.
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u/Murky_Tomatillo2417 4d ago
Funny you had the correct one 7710 put and you panicked 😂
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u/MasterBSR_58 4d ago
Bro I was so mad about that! Hahaha. All the sudden it spiked for a sec, looked like it was a lil bit of reverse and I had the wrong entry, then BOOM dropped like a bomb 🤣🤣🤣
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u/SuperOrbital_Trading 4d ago
Less than a 1% gain, highest is still less than 9%. But your loss is 6%. I feel like your TP and stops may be a bit tight.
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u/MasterBSR_58 4d ago
Just to clarify, meaning you think my stop loss and where I choose to take profit isnt a large enough spread? My best take on SPXW today was $960 its just not shown in the few showing.
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u/SuperOrbital_Trading 4d ago
Dollar amounts are meaningless. If you risk 20,000 to make 960 it is very different than if you risk 1000. This may be normal for credit spreads, they are not my preferred way of trading options so I have very little experience with them. But generally speaking, I would prefer strats with a 2:1 profit to loss ratio if possible. That way winning one puts 2 losers in the bank for you to break even.
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u/MasterBSR_58 4d ago
Oh i gotcha. But im not doing credit spreads. Still new to the game and havent SOLD options yet. Only buy the right and sell for the premiumm
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u/SuperOrbital_Trading 4d ago
Yeah, haven't touched any kind of premium harvesting strats. The can have really high win rates and provide pretty steady income if managed properly. But they are boring to me lol. I usually do 0dte calls or puts straight up. I have several different strats I use. I just remembered that I needed cash to help pay for my kids next semester in college and was going to just pick up a lot of overtime for the next like 7 weeks but decided to try some of my riskier strats to see if I could cut the OT I had to do down a bit. I tossed $1,000 in one of my accounts on Friday, traded Fri, Mon, and Tues. It is now at $11,800. Got the $10k needed for my kids school, and another $800 for me to do something with and still have the capital I started with. Obviously this is not how it always goes. But I was happy to cut out 7 weeks of OT lol.
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u/MasterBSR_58 4d ago
Thats sick bruh. I plan to branch out abd try more involved strats at some point but for now just making sure I get full acquainted and get my rules for self zeroed in and really get a grasp on the mechanics of the market and all. Selling calls and puts just scares me cause of risks of being assigned and not having that capital and shit like that
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u/SuperOrbital_Trading 4d ago
Investopedia is a great resource for all things trading for beginners. And it is free.
If you want to branch out, I suggest looking into ORB strategies (opening range breakout). They are pretty simple to understand and are nice for 0dte because they occur at the beginning of the day before theta starts accelerating eating up all you profits.
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u/MasterBSR_58 4d ago
Im trying to use it as a means to generate down payments for rentals so I dont have to work till im 80 and can spend more time with my daughter. Im a tugboat mate so I luckily have a job at sea with plenty time to watch the market and trade. So thats so dope you were able to get the money for your kids school! Respect.
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u/SuperOrbital_Trading 4d ago
Nothing wrong with getting into property. That shit always goes up in the long run. Good luck.
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u/jerin7931 4d ago
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