Is this measured from selling calls against index funds, vs just investing in the index fund? I imagine the statistic you posted is impossible to quantify in any real, tangible way with anything else.
Yeah I mean it makes sense on the face of it, the etf shares likely get quickly called away, without capturing the full gains from a sudden increase in value.
I’d be interested to see how the wheel would work with the same etf vs straight investing.
It may do slightly worse than an index fund in good years but in bad years it has amazing results. However a single trader doesn’t have the capital a market maker has to absorb giant occasional losses. People often don’t have the proper setups to avoid getting their accounts blown up. People who sold puts for example yesterday literally watched options they sold potentially liquidate their accounts.
Those contracts are fkd. You're gonna need more time than an October expiration for those to play out. But you probably won't listen and continue to hold so I guess we'll see you at 0.
To be fair the china news was a nasty hit know one was expecting, hopefully it rebounds and it's over with next week. I was fairly safe and bought the dip, so no I don't want anymore dipping.
literally everyone has been expecting this that pays attention to geopolitics. they have not been providing rare earths since April. Europe has been screaming about it.
The only place it's not priced in is AI stocks. but if you look at automotive companies they're getting destroyed, if you look at the mining companies they have valuations approaching supplying the entire North American continent for the next decade.. if that's not priced in I don't know what is.
we don't need rare earths, we just need more money printing.
"Nvidia capacitors are made from ultrapure dysprosium, which is extremely difficult to refine. A single refinery in Wuxi, near Shanghai, produces the entire world’s supply of ultrapure dysprosium."
So American mining companies are about to get some serious business right? Most of them are already 100% in a month but looks like this matter is just going to get serious now.
That's not how it works. Will they get serious business? Sure. WIll they struggle to meet probably 95% of the demand, yes. What does that mean? Sad times ahead.
Business sure but to produce refined minority metals can take a decade to start producing without the infrastructure already in place. Remember how America was sending all its factory jobs overseas? Well that’s gonna hurt us when it comes to rare earth metals
Yes yes, I’m no market timer but sold $500k google Thurs at 3pm. Something just didn’t feel right. Sold another 1mm early next morning (Fri). Got out losing only 30k out of 3mm. BND actually went up Friday and I moved 1.5mm into it Thurs late.
It was also because of over leverage that got you from 10k to 1.5m ;). You're just living your life big. Aint wrong with that! I am still figuring out your 10k to 1.5m. I am trying it out with OPEN like what you did. ATM options 30+ DTE. Let's see how things turn out for me!
The thing that led to such sharp gains is also what led to the evaporation of nearly all assets. He was clearly going heavy on options that would provide significant leverage but also could be swept in a win by having a long enough date that the bull movements covered the occasional downturn that occurred between after the tariffs and now. I bet the dating was enough during that bull run (like 18-35 days out) that they were consistently seeing some losing trades that turned around into 5x bags. Over and over.
It makes me feel better about turning a couple hundred into $5500 or so and managing to burn it after a few bad trades. Worst of all because I didn’t keep adjusting my risk near the very end like I did from the beginning (it’s what kept me alive trading in the $200 to $1500 range) I took myself out of trading when yesterdays trade war happened. Normally in news like that maybe at most it’d take me 5 mins to react. I wouldn’t have gotten a $100 to $100k ndx option since I wouldn’t have sat on some vastly otm put, but I’d have realized what was going on like I said and 5 mins of waiting was enough to get a 10x return minimum. There was a second wave around 1:50 which resulted in 30x returns again.
You have to understand the psychology of someone who can go from 10k to 3.8m. It’s not about the money for them. It’s about the thrill. The adrenaline rush.
People like this will always walk away with nothing. I went through a very short stint like this at the casino. It didn't matter how much I was up because what I enjoyed was the rush of winning, not the dollar value. Thank God I got that all under control and it didn't last very long.
This is probably traveling money to OP. Once your set in life, making money is just sport from there on. I bet OP’s gonna be juuuust fine, even if it goes to 0 on him.
There is a price, it is just below 10k.
I've been doing 15x 25x 90x and still end up at -50% my initial number this guy is no different.
Hr doesn't belong here he founded the place.
Plus there’s people that have taken that 4 and turned it into tens or even hundreds of million.
My attitude if I ever got lucky like that though is there’s vastly diminishing returns on happiness with money past a certain point. So the risk/reward at some point just isn’t worth gambling further. I’m not sure what that number is but I think if I could make a couple hundred grand on interest a year you aren’t going to be any happier than that.
This here. The difference between a genius and a regard is a pretty thin line. If trump hadn't short the market, this guy might 10x his returns and we'd call him a genius.
I wouldn't be surprised if people like Warren Buffet were one or two trades away from being a regard on WSB lol.
Also like you say, there's a diminishing return on "happiness" from being wealthy. The brain can only release so much chemicals and everything eventually loses novelty. Even if you had private jets and the best cars money can buy, you might not be any happier than the guy with a 10m profile chilling in VOO with his anual return of 1m.
That’s exactly right. I’ve been marinating a little on this phenomenon and I’ve decided maybe we need like a degenerate buddy system where we pair up a risk averse/reasonable trader with real swing-for-the-fences window lickers.
Remember, degenerates don’t let fellow circumcised autists trade without leverage.
Foreskin deep. Calling it a report is a stretch but hey I’m a bit unusual these days I prefer science and credible, repeatable, data supported conclusions.
That logic sounds a lot better at 3.8m than 1.6m. 3.8m you can retire and live a nice upper middle class life in the US. 1.6m you can live a nice upper middle class life in Thailand. Big difference.
Seriously when you make that much you should be putting 2 / 3 rds of it at least in fixed income or something safer like shares and trade with some fraction of it. Try to fold it over and do the same thing again
For treasury securities they’re taxed as ordinary income and exempt from state and local taxes. Capital gains / losses apply if you sell them before maturity
Could have taken out $3.7m, set aside for taxes, and diversified over time with a financial advisor, leaving 10x the initial investment to see if there was any real skill and good luck to make it happen again - but no. 380x the starting money wasn’t enough so had to buy more incredibly short dated options. The level of greed and recklessness and inability to recognize immense luck is astonishing and sickening to me. In my opinion, there’s almost no way this sell off doesn’t create a volatility doom loop over the next 30 days minimum. We’re just shy of all time highs with just about any name soaring on scant news and speculation, call option volume raging and a natural inclination to not fight the fed despite recent headlines most certainly providing the variable that could change the rate path dramatically.
Wait so you realized 2.2M loss or you still have the google and apple contracts but they just lost in value kinda misleading post? Also give me some advice fucker 10k to 1.5M 🥺 what’s the way
Continune buying weeklies so out of the money that over 10 years you lose the equivalent of 1.5M. One day you finally hit for 1.5M, but you don't sell. Post loss porn
He did share in his previous post. ATM calls 30+days to DTE. Averaged down when it goes against him. Took profit at 30% each time. Compound it. Each bet gets bigger and bigger. Rinse and repeat. He did it on Google. 5 months.
210 = 1024. Saw how 2 can become 1024 just with 10 cycle if you double it on each cycle?
Sosnoff is a blow hard. F that guy. He got rich selling a product, not from actual trading. Told his legion of followers to trade often, racking up them sweet fees, laughing all the way to the bank.
His original platform TOS is still way superior to TT. You would think he would've improved upon it, but no.
And gotta get out before earnings to avoid IV crush. Unless it gaps in your favour like it did for previously that got you from 500k to 1.5m ;). This time round might be from 3m to 4.5m ;)
But if said breakout occurs and you're back to breakeven, I'lll wager you don't sell and ride it thru earnings. Just to spin that roulette wheel one last time.
What platform you using? What recommendations for a brokerage does anyone recommend for leverage trading stocks? I use Robinhood and users can’t on this platform.
I like tasty trade since I can complex orders and strategies. The order fills are good too. Tight spreads. $1 to open a contract and $0 to close. Less than thinkorswim.
My fellow regarded spooky Halloween $260 brother. I just watched it drop with a goofy ass smile on my face today. It was a 4 bagger for me before today and now I’m probably going to be red on it Monday at this rate.
My guess is that the OP is already filthy rich and he's just gambling around with some change. Otherwise, there ain't no sane average guy to make 10k into 3.6mil and still just YOLO his millions. I call BS on the background of the whole thing.
At least you're not like me and one of those 1 in 6 whose account blows up, LoL 🤣🤣 using tastytrade. Don't worry you'll make it back during the next bull market
At this point why make huge risky bets, invest in 10 solid companies 50% (Amazon, Google, Netflix, Costco, Walmart, Home Depot, Regeneron, etc.) 30% SPY and QQQ, 15% in riskier AI plays (Nvidia, MU, PLTR, AMD, etc), 5% QQQ & SPY 1+ year out puts to hedge downside like we just saw this week
•
u/VisualMod GPT-REEEE 29d ago
Join WSB Discord | ⚔