I was an idiot… I lost $100k in two minutes trading options.
How much money have you lost trading in just one day? Losing money is a part of trading. We all get that, but there are some days where we lose big time.
I will never forget the day I lost over $100,000 of someone else’s money trading options in just two minutes worth of trading.
HowI Made a Huge Options Mistake
I was selling naked unsecured puts on Silver and I was breaking all of my trading rules. It was one of the trades that was on the border the entire time. One day it was doing great, the next it was in danger. I admit it, I let my emotions get the best of me. I was convinced I could make the trade work, but I was wrong.
It was the day the option was going to expire. I just needed silver to stay above the strike price I sold by the close of that day and I was going to be golden. My client was going to love me and I would have ended one of my best months in trading since I joined my firm.
But… that didn’t happen. Silver opened up down $2.00 and never recovered and I lost over $100k in the blink of an eye. I was devastated, my client was devastated, and the head trader in our division was furious.
The lessons I learned that day have forever changed the way I trade options. This was also the day I realized I needed some wisdom from someone who had been there and done that.
Luckily, I didn’t have to look far for some guidance. Sitting right next to me was a legend (well at least a legend to me). He had been trading options since 1983 and had one of the best track records I had ever seen.
He clearly noticed something was wrong with me and began to put the pieces together without me having to say a word. He gave me some advice that was really hard to hear, but exactly what I needed.
He told me, “Greed blinds even the wisest.”
He went on to tell me that greed is usually the primary reason any gets into trading. Meaning, people want to make as much money as possible in the safest way possible over and over again. But, every now and then we forget the later part of that sentence and just go after the opportunity with no regard for the risk.
Can you relate?
I tell you this story because this mentor of mine turned into one of the biggest influencers of my trading career and we have decided to do something we’ve talked about doing since we worked together over 10 years ago…
Launch an Options Trading School!
I am so excited because I know so many of you can relate to my story in some way and if you are like me, you are always striving to learn and grow into a better trader. I literally can’t think of a better person to help us than my great friend and mentor.
For right now, this is all the information I am allowed to share, but in just a few weeks, I promise to have more information and it’s gonna be something you will all want to get in on.
For now, let me know if you have a similar story and how you were able to overcome it. Send me an email to Jeremy@InvestingShortcuts.com. If I get few good stories I will share with our community and give you a shout out.
Now let’s hear ‘em!
