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Thursday, October 27, 2011

Options Animal (Wall Street)

2/1/14

Please note that this is a VERY old post, and I have grown in my trading and moved on. Do NOT USE this post as the basis for spending your money on options training. Read my current blog (2013 and 2014) and see that I no longer believe in paying for trading training. It is available FREE in many places. Do yourself a favor and go to Tasty Trade.com and join the revolution.

Bev Jackson

To see an index of the articles posted to this blog, go HERE


Don't you LOVE that name? This is the new options mentor I have thrown in with. You have to realize that options are not particularly easy compared to buying and holding stocks, and losing your shirt whenever the market dives. With options you can lose your shirt all day any day UNLESS you know what you're doing. So it behooves one to have an options education. But I maintain that options trading is the best, most fun, most profitable way to play the stock market, IF you know what you're doing. And it's a committment. Something akin to getting married or having a child.

I am starting my third year of study now. My first year of trading, I was quite successful with beginner's luck. My second year (after some kindly trader stopped by my blog and direly predicted I "would start to lose, just wait and see") I started to lose all my earnings, (making this jerk right) and of course the economy and the market went to ruin, which didn't help matters any.

But part of trading is not-getting-emotionally-involved in all this, so I am just biting the bullet and pursuing more education. Goodness knows I have been through a lot. In the beginning, I bought the DVD's of Darlene Nelson Powell on playing the Q's and trading LEAPS. I loved them, and think she's a very smart lady. I have made close to $100 a day on the Q's ever since, daytrading. I haven't 'done' the LEAP strategy that she teaches, mainly because it takes time and money, both of which I'm short on.

I took a half/program of mentoring with OptionsXpress mentor program, and came back later on a sales offer to do a little more with them. I'm underwhelmed. They mean well, but something just doesn't gel for me when I speak to them.

I'm a member of the esteemed Oxford Club which is really about stock purchases, but I glean a lot of fundamentals and trends from them, so I'm glad I have a membership, even though I'm not buying stocks. When my fund will accommodate spending excess dollars on stocks, I'll have the right support.

I took a two day program with Optionetics, and could have saved my time and money. It's all about buying their software, which costs thousands, and very irritating to get sucked in.

I've paid for several "newsletter" deals -- where people tell you what to buy and when to sell, but you learn very little that way. I cleave to the Kirkland Wealth Advisory because Wendy Kirkland, the founder, is not only a personal friend of mine, but one of the savviest traders I know. She has written three books to date and more importantly has created her own trading systems, P3 and T3 which are not used by anyone else that I ever heard of, and which work brilliantly. It's basically a Call (P3) and Put (T3) system however, and I want more.

So why so many teachers? How can there be that much to learn? I have a theory on this. I believe some people (like Wendy) are born traders and others (like me) have to struggle to learn it. And there's a lot more of me than Wendys. I had a successful career as an accountant and controller, but it did not come easily to me. When I first started studying accounting I thought I would NEVER understand how debits and credits worked. How Balance Sheets and Profit and Loss Statements 'balanced.' One day in class, the whole concept of "Assets equal Liabilities plus Capital" just slipped into my head, after hearing it hundred of times and never *hearing* it before. It was like fireworks went off. Accounting, after that, was a snap. I could do anything. And so I think it is with options. I am looking for that one little formula that is going to make the fireworks explode.

Yes, there's a finite amount of things to learn: fundamentals, technicals, basics, strategies, sentiments, psychology, trends, interpreting news, institutional trading pitfalls, timing, etc. ad nauseum. Maybe finite, but multitudinous. And most everyone teaches most of these things, some better than others. And they all teach how to use stop losses. A way of preventing yourself from losing ALL of your money in a given trade by stopping the trade when you've only lost a pre-arranged percentage of your money. They teach you how to limit your losses. They teach that everyone has losses, therefore you must stop them early, instead of letting the trade run, and lose it all. Sounds reasonable, no? But meanwhile, I have amassed MANY stop loss losses.

I poke around and watch free webinars whenever I spot them...always on the hunt for what will work for me. And FINALLY I found Options Animal. They teach all the same things that allllll the other people do (except maybe Wendy) BUT in addition they also teach something that NONE of the other people do, and that is HOW TO TURN A BAD TRADE INTO A PROFITABLE TRADE. A very tall order, but that is what they teach, on top of all the other things. When I first heard this, I couldn't believe my ears. So I signed up for another free OA Webinar with a different speaker. Sure enough, that is their claim to fame, and they SHOW you how it's done. Options Animal uses NO STOP LOSSES at all. If a trade goes bad, they ADJUST IT. This principle of adjustments is worth just about anything as far as I'm concerned. If you're an options trader, I think you'd agree with that. That's not to say that a trade can't ever go bad, but it reduces the likelihood drastically. It is that "aha" formula that I've been looking for.

So, I'm starting a new journey. I'm going to be an Animal too!!! I'll be checking in to share my experience.

P.S. In case you're wondering if I'm a naive fool, I thought you might like to see a review done by someone in answer to the question: Is Options Animal a scam?

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104 comments:

  1. Bev, I purchased Wendy Kirkland's $99 book on call options and never was able to get it to work. Her Advisory Service is $6000 a year and is a you hope you did the right thing type of purchase. She has a Monday night user chat but no one (including Wendy) ever reviews a chart, picks an option, and says it's a buy. I found the the whole experience lacking and from those in her Monday night chat room, I was not the only one that couldn't understand her sysyem

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  2. I wish you'd send me an email (bevjackson (at) gmail.com) so I could work with you. The system definitely works, and while I don't attend the Monday night meetings, I used to regularly attend the Saturday morning meetings and for sure they discuss P3, charts, and welcome newcomers all the time. Wendy's system works, but if you haven't read the basic book(s) on Options, it might not compute for you. I read Wendy's "pink book" first and then later the P3 book, and then the T3. The drawback to her Advisory Service is that she deals with ONLY calls or puts. Whereas in this market (and any other, as I am learning) spreads are safer and while not as lucrative, the probability is much higher. But write to me, and I'd be happy to try to help. BTW, I'm REALLY digging OptionsAnimal. They've got it all going right down to the core of options. Also expensive, but imo, the only way to go if you're a serious trader and new to options.

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  3. Beverly,

    Would you mind updating your experience with Options Animal so far? I'm interested in learning what they have to teach about alternatives to using stop-losses. Thanks.

    Mike B
    Oregon

    ReplyDelete
  4. Sure, Mike. Happy to update where I'm at, so far.
    There are 8 levels of study, and I am at Level 5,
    so I have not got the full techniques yet. BUT I am involved in live classes as well as archived webinars on a daily basis, and the emphasis in the entire course is to teach to a level of pro trader so that any trade can be adjusted. The secret is figuring out the entire trade BEFORE you put it on. We are trained how to figure our Primary Exit, AND a Secondary Exit. That secondary exit is the PLAN for when things go the wrong way. There's a lot of math involved, (simple enough) figuring out Delta and Theta effects on your options, going up down or stagnant. I really LOVE this program because I can see the goal is to know ALL the strategies so effortlessly that you can add a leg to anything at the appropriate time to save the trade. And they do NOT use stop losses. The only thing close to that is closing at the trade at a breakeven, which can sometimes be your Secondary Exit.

    Hope that helps. I'm thrilled to be in this program, and I've done a LOT of programs. Wish I had all that other money back.

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  5. Thank you Beverly for the great information. Can you also give me an idea of how they go about helping you find good stocks to trade?
    Also, what is the approximate cost of the program? It sounds like you started the program with a pretty good basic trading knowledge so do you begin at the same point in the training as all the other students?
    I've done a LOT of programs too. I feel like a junkie. I don't want to do another one unless I REALLY think it will make a difference.
    Thanks again for taking the time to answer my questions.

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  6. Oh, you're very welcome. There's different prices (no surprise there) for what you want. I did a "lifetime" membership which was thousands, but I had a lot of advance info from others in the program because I got a 2 week free trial. You might ask them about that? I dunno. They run it like a regular schooling experience. You have a test to take at the end of each level, and if you don't make the grade, you can't move on until you do. (you can take the test over and over). As far as finding stocks, they tell you what you know already (I'm sure) about Watch Lists and trading the same, tried and true stocks because the more you know, the safer you are. But the real focus is teach you how ALL the spreads work, and how you can use debit and credit, iron condors and butterflies, collars and protective puts, covered calls, etc. AT WILL when you either have an expectation on a trend, OR you need to fix a trade gone wrong. You've seen how the guys on Option Action talk and trade? Well, that's the promised outcome of this too. As I said, I'm only on Level 5, and the good stuff starts at Level 6, 7, and 8. They request that you paper trade until you graduate and really know what you're doing. But if you have any sales resistance whatsoever, why not just call and talk to them? I think their integrity is extraordinary, ALL of their coaches seem to have THOROUGH knowledge of every facet of options (and that alone is worth the money) and are willing to tirelessly, cheerfully share it with you as long as it's not advising you on any specific trades (unless they're paper). And they draw the line at specific trades usually, as it's against the law for them to do that kind of advising. It's purely educational. And I do believe it's quite superior to all else I've had to date. But I tend to be enthusiastic, so I urge you to find out for yourself. Happy Trading, Mike!

    ReplyDelete
  7. Oh, I entered the 2 week program and breezed thru the tests on Levels 1,2 and 3. (one of them I actually had to take twice (blush). So you can start at the true level you're at. And it's reassuring to have some gauge of what you really do and don't know!! Sorry, I omitted this above.

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  8. Oh, more. They have archived "live" webinar classes, AND a whole calendar of newly and truly live online classed every day, for all different levels. If what you want isn't being done live, you can just hop over to Archives, pick your favorite coach and do it without participation. You get the same powerpoints, audio, etc. as the live, without the chat room. It's great.

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  9. Thank you Beverly. I think I may give them a call. Best of luck with your trading. I'll check back periodically to keep up with any additional posts you might have regarding your future experiences with them.

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  10. Beverly-why did you not stay with Wendy Kirkland's P3 system if it was working so well?

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  11. Wendy's P3 system is designed for a bull market. When the market went bad, and it went really bad, I lost a lot of money, not knowing what else to do. So I had to start learning how to play ALL markets, bull, bear and stagnant. Then I learned that spreads are safer and cheaper with greater probabilities of success. Wendy's system works well in a P3 market, but carries more risk than I am now willing to take on.

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  12. Beverly, I'm glad to hear from someone else who shares my pain regarding Wendy's P3 System. A little over a year ago when I just started trading (April 2011) I paid some $5,000.00 to join her P3 advisory. At the time it seemed great, her track records were fantastic, the best of any advisory out there I'd seen in fact. I was so gullible already figuring my profits thinking this was going to be such a great financial decision and make me so much money! Unfortunately things went horribly horribly wrong, basically as you said it only works in a STRONG BULL market. Most all the trades were losers, and big losers at that. The few winners were tiny in comparison. Absolutely no risk maagement or attempts on her part to turn things around, and no concern shown whatsoever for her clients such as myself who had paid her a huge sum of money!!! I kept thinking the drawdown would end and finally around September I stopped trading it as I realized it just wasn't going to turn around. By this time she had lost over 25% of my trading account!!! A lesson I learned the hard way is that if a service promises something outrageous like 100% annual return, that is much more likely to end up being -100%...
    To Wendy's credit she DID did take pity on me and refund the initial $5000 cost of the service after I wrote her a sad and desperate letter with proof showing I took the the trades and my losses, even though the 12 months were not up (she had a 12 month guarantee). Unfortunately she had already lost me more than that with her accursed losing P3 trades and there was nothing that could be done at that point. Thank god I cut my losses when I did though because the service kept losing. Also to her credit she DID post these losing returns on her track record so at least she is honest. Looking at the track record now it looks like they finally had a winning month in January, but have no idea how it has fared since then. I imagine again things are probably going pretty badly right now, if she still actually runs the advisory. She also introduced a new Kirkland's Wealth Building advisory service that uses both calls and puts (P3 in addition to T3) which is doing better I'm sure, but I no longer have any faith in her, especially not her advisories. I do own her books on the P3 and T3 system and think they have potiential, but only in either strong bull or bear markets. Personally after my bad experience I'm too scared at this point to ever buy a naked call or put anytime soon as I think it's a losing game. I have moved on and had better success with doing strictly delta-neutral trading, now I trade primarily Iron Condors with an occasional adjustment spread or calendar/double-diagonal for vega hedging. Much less stressful.

    ReplyDelete
    Replies
    1. I completely agree. I signed up for all newsletters and the Trade for Life team. I cancelled all newsletter and tried to cancel the Trafe for Life team.
      There are several reasons. First of all, the content of the education program does not live up to my expectation. Except for “Steve’s Cycles” I do not learn anything new. In the lessons, we are mostly looking back to chart pattern or possible trades. That always works. Even MACD crosses or MA crosses will work great looking back or back testing, however, in real time it is a very different story. I think the P3 / P3.5 indicators are also lagging indicators which are no better than for example MACD. And I have the impression that most of you are using and valuing the other technical indicators just as much or more than the P3 / P3.5 indicator.

      I also subscribed to the MERIT program, Price Surge System and P3 advisory. That doesn’t work either. I do not know how the huge results which are projected in the advertisement are calculated since it is a watch list. Are the best picks taken out to calculate profits? If you would perform all the trades on the watch list you will lose big time. I did quite a number of trades after the P3 / P3.5 pattern developed and lost almost all of them. Then I let Wendy trade my account automatically (QQQ’s) because I thought maybe I did something wrong (emotions?). But then It was still a losing deal; after almost half a year the QQQ’s are losing almost every month, instead of building the account to a considerable amount as projected in the advertisements and money management.
      I think Wendy was lucky to start in an extreme bull market. If a call option trade went against you, just wait a short while and price will go up again. Sometimes trades were made based on a 10 minute chart P3 squeeze pattern, which implies a short term move. However, I saw a very clear P3.5 pattern on the weekly, daily, and hourly charts on the same moment. In this case I luckily bought some puts in my favor. This is only one example.

      Afterwards, I was also surprised that there is no guarantee or refund program, which I do think is very strange. A self-respecting organization that is confident of their product / service will have such a guarantee and refund policy. Especially someone like Wendy with her background which she is also using in the advertisements.

      Delete
  13. I wish I had been lucky enough to get a refund. I know her personally and didn't get a refund, so I think you are very lucky indeed.

    And congrats on finding a safer way to trade. It does reduce the stress and increase the earnings.

    Wendy is honest and very talented. I bear her no ill will at all. It just isn't right for everyone.

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  14. Bev I am just about to sign up for Options Animal. How have you progressed so far what level are you on and do you still recommend the program?

    Regards
    Bernard form the UK

    ReplyDelete
  15. Hi Bernard,

    I just completed Level 7, and was getting a little ancy because I keep finding new people and new things to explore (elsewhere) but when I passed the Level 7 test, the whole 'world' of Level 8 was opened up to me, the advanced strategies which I didn't even know they taught, and I'm reassured once more that I picked (finally) the right program for me. I am actually starting to see light at the end of the tunnel. O.A. teaches you in "levels" and I was getting a little bored at the sameness of it all, but in Level 8, they start to pull all that learning together and a bulb goes on! At least it did for me. If you really study and get proficient in every level, then the accumulated "pieces" of knowledge all come together at the end into a cohesive whole. I can "see" where I'm going now, and it is the freedom of using a call or a put in ANY way I need to trade. Call it a vertical, a condor, a ratio...it doesn't matter what the names are, it's the ease of knowing HOW to trade that counts. I am now combining O.A.'s clarity of options with Tom Sosnoff (Tasty Trade. com) whole philosophy of trading probabilities. With the two totally different 'philosophies' I feel I am learning rapidly, and getting really excited about the possibilities ahead. I think there's going to always be more to learn, but yes, I still recommend the program and encourage you to discuss in detail with them how far along you are and what you need, (and perhaps try to save a little money in negotiating your level.) Options Animal is still the best training for beginning traders, in my opinion.
    Best of luck! (see you in the classrooms!)

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  16. Bev, Have you begun making a consistent income level after Level 7 ? After what level did you start having a net positive cash flow with Options Animal?

    Regards

    Rajesh

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    Replies
    1. Hi Rajesh,

      I think the most honest thing I can say is that I have stopped the blood letting. I am managing to NOT lose money
      consistently. I'm more at a breakeven consistency but my winners are not just "blind luck" now, but I know how I did them~ The market changes, so I need to change (and learn how to change) with all the different scenarios.

      But I am off and running on other option tangents now (see the rest of my blog regarding Tastytrade)
      so in a way I'm adjusting my manner of training just a little -- using OptionsAnimal PLUS what I'm learning elsewhere,
      and still consider myself very much a student. It seems to me that the more you know, the more there is to know.

      Right now I'm focused on probabilities and implied volatility, playing very small and frequently with 70% probability
      trades. I think it's a numbers game, first and foremost, so once you know the strategies you really owe it to yourself to keep studying some of the mathematics that really underlie the potentials for profit.

      Thanks for stopping by. Hope this helped.

      Delete
    2. thanks for your info...

      i am considering a OA course and am a complete Options novice....the instructor of my free course and the two consultants that i have spoken to make it sound so easy to protect my investments and profit 95% of the time...

      i am sure it is not that easy...since i am starting from zero and not wanting to invest more than $2500 (for 6 months), is it realistic to think that i will learn enough to be a successful conservative options trader???

      Delete
    3. Hi, thanks for your note. I think you would get a good "basic" training at OA, I really do. Nobody does it better.
      I think if you read the rest of my blog you will see that it's a process on never-ending learning. I went from the
      OA basics to Tasty Trade.com (with Tom Sosnoff's philosophy of training which differs from OA) and now I'm starting to investigate options on futures. So it just goes on and on.

      I think the best advice I can give you is to follow OA's advice and PAPERTRADE until you finish some of their courses, and then when you do risk real money, keep ALL trades very small and keep them in small risk ratios. (Like making $1 to $2 risked. Otherwise, in the early stages, you will lose a lot of money. It is NOT "so easy" except in the basics, but like anything else, the art (and the money) is NOT in the basics.

      Hope this helps.

      Bev

      Delete
  17. Bev,
    I just received a letter from Wendy Kirkland about trading weekly options. If I am not mistaken. she lists you as using this system. I have traded options in the past, but like you it was beginners luck how I made profits until the market finally turned against me.
    I would like to trade the weeklys, and maybe down the line Options Animal maybe the way to go.
    Right now I have a good sized 401k, but can not trade options in this account. I have $2000 to open/set up an account, but see that $25k may be needed because one would need a higher level to employ some of the spreads to make money and possibly being defined as a day trader if I make 4 round trips in a 5 day period.
    This day trading label by the various online discount brokers seems to be a hurdle in-itself, because they all interpet this rule differently it seems!
    John

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  18. Hi John,

    Yes, I used to trade Wendy's system years ago. I really need to get myself off their advertising, as I do not use that system any longer.

    I got excited about Apple weekly options, but it's only wonderful in a steady directional market, NOT in this choppy uncertainty that we've had. I would advise against it, and surely not pay money for it. Weekly trades are NOT day trading unless you plan to turn them around same day. But yes, if you day trade you need a minimum of $25K. It's not a broker thing, but a rule by CBOE or somebody, I think.

    I am currently looking at selling futures options which also require more money, but seem to make more sense than equities. I'll be blogging about this soon.

    If I were you, I'd do one or two 1-contract monthly trades with your $2000, and sell credit spreads far OTM, and try to grow that fund until you have some capital before you mess with weeklies. But that's me. I've lost a lot learning this stuff, so I'm finally paying attention.

    Thanks for reading,

    Bev

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  19. Hi Bev,

    I just found your blog this week. Absolutely fascinating and very informative. Thanks so much for sharing your options journey. I've spent several years and thousands...and thousands of dollars trying to find the right source to teach me what I need to know to be successful in trading (anything, although I've narrowed my focus over the last year or so to options). Spent alot of money on options webinars, newsletters, etc only to find myself, as you say, trading on blind luck. What I love about your experience is that you're working toward finding a repeatable and successful process, exactly the pilgrimage I'm on only I seem to simply be wandering without knowing where to go. Then I stumbled across your path and alot of what you've shared has hit home. I'm excited to try some of your recommendations but on the other hand I'm really gun shy right now as I'm still in a weekly webinar that lasts til mid Jan; that is, I'm really leary about doling out thousands of dollars, again, only to be frustrated--again. Although it does sound like OA and TOS might be the real deal. I think I may first finish what I've started with my existing webinar (an immense waste of my hard earned money!).
    As I read your blog I was overwhelmed by the different types of trades you discuss and that are used by TOS and OA. Besides the OA classes, is there a book(s) you'd recommend that explains all these strategies that I could try and teach myself? Or is the only way to sign up for something like OA or TOS? I think my goal is similar to yours in that I'd like to be able to "catch my own fish" (ie someone teach me how) versus just having someone "do the fishing for me". I look forward to the day when I can hopefully achieve that goal. Any other insights, thoughts, recommendations would be sincerely appreciated.
    Thanks so much for sharing with us!
    All the best
    Jeff

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  20. Hi Jeff,

    Wonderful to hear from you! (doesn't misery love company? ha.) I am still growing, learning, reading and I hope you will read my entire blog before investing any more money anywhere. There is much to be learned, and it shouldn't have to take thousands. Save your money and get onto Tasty Trades. com for a few months before you decide what to do. There's just a LOT of different directions to go. To learn pure strategies, they're all over the web for free, and many, many books teach them too. I think the pure strategies are NOT the answer. It is a much bigger picture. The strategies are only tools, and the artisan has to know when and how to use them, so the education is ongoing, I'm afraid.

    Anyway, I'm with you on your journey, and just go slow and MANAGE YOUR MONEY. Do not get "free" in any way. Your fund's protection is your first priority.

    Thanks so much for writing,

    Bev

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  21. Hi Bev,

    Just found your blog. Thanks so much for sharing. I can sooo relate. (tried to post a longer blog, but it disappeared - as fast as my trading account). I had called to get one of Wendy's courses, but when I found out she had 4, I decided to do more research and Thankfully discovered your most informative blog.

    My experience is with Chuck Hughes Inner Circle and mentoring. I am aware of Tasty Trade somewhat and have signed up for an account there, but little time to pursue it. Thanks for the recommendation. Not sure I'm able to try OA yet, but your summary and tips are most helpful.

    Thank you for sharing you valuable experiences. We are definitely on the same quest and journey.

    Earl B.

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    Replies
    1. How was you experience with Chuck Hughes. Are you making consistent gains?

      Delete
  22. Great to hear from you, Earl. This learning process seems to be never ending, so think carefully before jumping/paying into anything. The problem is that there is no one "right" way to do anything. There are many, many philosophies, approaches, and opinions. It seems that each "school" thinks theirs is the only truth...and it couldn't be further from the truth.

    Best of luck, and stay in touch.

    Bev

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  23. Hi Bev!
    Just came across you - I am considering signing up with OA - just had a one on one with one of the consultants who has been with the company for over 7 years - he seems to be really knowledgeable & very helpful
    I too have invested a lot of money with other training programs that did not pan out - they teach you the fundamentals but they don't teach you the real deal . . . how to fix your bad trade . . . from what I can tell, OA seems to really address that - I just wanted to find out if you have found that to be consistently true - are the coaches really that accessible if you need some help figuring out a dilemma?
    Great work you're doing here, I hope to become so proficient that I can encourage other people to take responsibility for their financial health as well:)
    Have an amazing day,
    Brenda

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  24. Hi Brenda,

    I do think O.A. is very reputable and very knowledgeable. The coaches are terrific and very, very available. They listen and are dedicated, and in every live class, you can throw out questions, and the recorded versions of the live classes are all available for playback and review. It's a terrific program. I would NOT say it is the end all of learning options, however.
    I would say it's a great place to learn the basics, and to get comfortable with all the strategies, all the jargon and many of the muances. Just be aware that there are other ways of doing things, and I get torn between the philosophies. I hope to incorporate all into my OWN trading philosophy as I grow. But it's not a scam, and it's not anything that you will regret learning. For some advanced students, it might just not be enough.

    HOpe that helps?

    Thanks for dropping by!
    Bev

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  25. Hello - I received an email marketing Wendy's weekly option manual / trading system. Do you have any comments on this or from anyone that has used this system? Thanks!

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  26. No, haven't seen it or used it. I'm assuming that it's buying weekly puts and calls? (that was always her system in the past) I'm more into selling premium today than buying it, so can't help you on this. A call to her publisher would likely
    get you more information. ?

    ReplyDelete
  27. Bev,
    I've enjoyed reading your blog, because it rings true to me as well as many others that have chimed in. I too have been down this journey, which seems like forever, without consistent results. I learn, learn and continue to learn after taking many courses and listening to numerous webinars, but continue to fall short of the proverbial "Holy Grail," I've been searching for. Since I read your complete blog today, I realize you are exactly are where I am today, and have been many times before.
    Every time I take another course or listen to another webinar, I say to myself, "This is it! This is the final piece I've been needing!" Then find myself looking back 6-8 months later still looking for more and wondering why the results have not improved significantly. Then an email or something catches my interest and I'm headed to a google search looking for that piece of the puzzle that eludes me.
    I actually ran across Wendy's Weeky Options promo and a google search took me here.
    It amazes me how similar you and I are. I too was an accountant that struggled to grasp the debits/credits but eventually it clicked and after passing the CPA exam I spent a several years in that field early in my career. Now I pursue this journey of learning to master the markets via options (so I can teach my family.) It has been a long journey but the learning continues. I remember a quote from Dan Zanger that keeps me moving forward, "If you are not ready to put in 6-7 years learning how to trade, then it would be best to not even start." I'm paraphrasing of course, but the message is clear. For the payoff this can afford, must time and effort is required to reach the level of consistency.

    I have heard of Tasty Trade and have even listened to a couple Utube videos. I'm curious on your thoughts of how to get the most value/benefit from Tom @ Tasty Trade. I may be missing something, but it appeared to me that it would take a lot of time to listen to the all the interviews. I agree, the interviews are definitely inspiring, but I was just wondering if the value is the continual re-enforcement to the belief that anyone can be successful, or is there more content that I missed when watching the interviews?

    Let me wrap up by saying I thoroughly enjoyed the blog.

    Merry Christmas to you and all reading your blog. God bless,
    Lvj

    ReplyDelete
  28. Hi Lvj,

    Really enjoyed your email. I'm in the midst of real estate madness right now, so excuse my tardy reply. I read your post a few days ago. Always fun to hear from a fellow trader, and such similarities! As far as Tasty Trade goes, there a few morning shows, but the only ones I pay attention to are "Market Measures" and "Good Trade/Bad Trade" and I learn a lot from the telephone calls they answer. The rest of the day they have other traders (Liz and JNY, Slim, Shadowtrader, etc.) who trade by charts and in "traditional" ways. They are there to attract traffic but don't reflect Sosnoff's philosophy, so I do not even waste time watching them. (Liz and Jen DO reflect them, but are for beginner traders). If you're a member of Tasty Trade, you can get into the Archives and watch ONLY the shows that interest you and avoid all the silly shows/sports talk/and such. I used to leave CNBC on like background noise, but now I do the same with TastyTrade until Liz and Jen come on. Then at 3:30 (EST), Tom and Tony come back on for market close, and I watch that when I can. Hope this helps. Thanks very much for reading and letting me know you did. Makes it worthwhile. Happy New Year to you and all readers, Bev

    ReplyDelete
  29. Bev
    I am considering OptionAnimal,I am a novice in this area. My question is are you uisng the 5 companies they recomend each month for your options trades? Seems like a fairly sold program if they walk you through each one or am I missing something?
    Thanks
    Brian

    ReplyDelete
  30. Hi Brian, Not at all sure I understand your question? What 5 companies? They teach you to find/pick your own companies and not be tied to anyone else's trades unless you're just too busy and want to pay extra for trade ideas (but those are not 5 companies?) I must be missing something. Options Animal is still my pick for a starting place followed by Tasty Trade for advanced work.

    ReplyDelete
    Replies
    1. Bev
      I will confirm an let you know.
      emchochip@aol.com
      Thanks
      Brian

      Delete
    2. Hi Bev, are you still using Darlene Powell's Trading the Q's system? If so, do you day trade the system? I was just wondering if it works in any market.

      Delete
    3. This comment has been removed by a blog administrator.

      Delete
    4. No, I'm not using it right now, but I believe it works best in a much higher volatility than we have now. You need some movement directionally, and it's hard to get much premium in this low vol market. I often check the Q's to see if there's opportunities there, but we've had this low VIX for a long time now. I find it difficult to trade in low volatility. I end up selling premium more than anything.

      Delete
  31. Beverly, Back in December a gentleman mentioned Chuck Hughes Trading. I don't think your response included any reference to Hughes' program and wondered if you are familiar with it? If so, what do you think about his coaching methods and trading system?

    Thanks,
    Bill

    ReplyDelete
    Replies
    1. I am familiar with Chuck and respect his trading methods. I like how he teaches but wish he woudn't be so braggy about his portfolio wins. Sounds so snake oil. Just use those those endless $$$stats for strategies instead. It ends up turning me off. But he's a good trader, I believe.

      Delete
  32. Beverly,
    In December, a gentleman named Earl mentioned Chuck Hughes Trading. Are you familiar with his coaching, mentoring, or trading system?
    Thanks,
    Bill

    ReplyDelete
  33. Glad I stumbled onto this blog. I am supprised by your statement that for some advanced students OA may not
    be enough. If they don't get you to the advanced level then there is plenty of free stuff that is out there,
    like tasty trade which is a real gift at a very low price. Cboe also lots of free information just need to dig in
    and learn so the price that option animals is asking seems kinda steep. Just my opinion. But your comments are
    well taken nice to see people like you that shares. Rich H

    ReplyDelete
  34. Beverly,
    Thanks for the blog. It is good to be able to find information to help us all become more successful as traders. A couple of individuals in the past has asked you about Chuck Hughes and you replied with a positive comment. Chuck's mentoring program is very expensive, and a Google search shows a lot of negative. Do you have any information from individuals as to if his mentoring program has good results or if it is a scam. Thanks and keep up the good work. Ronald B.

    ReplyDelete
  35. Hi Ronald,

    I haven't paid for any of Chuck Hughes' classes. I've only attended his "freebies" but after a lot of months of FREE Tasty Trade webinars and daily FREE instruction from Tom Sosnoff, I would advise ANYONE to save their money on these option classes.
    I wasted SO much money on information that was half-assed, or so conservative as to be useless. Once you learn the basics,
    there is no need to PAY for education. It's All Over the internet, FREE, and Tasty Trade is the best there is, IMO.

    I personally don't think Hughes is a scam. But "scam" can mean a lot of things...and when people take money from students to teach them stuff they can get for free...well, that's something to consider.

    Thanks for dropping by.

    Bev

    ReplyDelete
  36. Hi Bev,

    Enjoyed your post and I am very much like you in our career paths although bookkeeping clicked for me right away. Have you looked at OptionsMD. It has been the best options course I have found.

    ReplyDelete
  37. Hi Bev,
    Thanks for all the great information.
    I just rec'd an advertisement booklet from Wendy Kirkland on QQQ's option trading.
    Do you have any experience with her new system?

    Thx,
    Mark Molina

    ReplyDelete
  38. Hi Mark, No, haven't looked at Wendy's new systems. When she and I used to be traders in Asheville, we were using
    Darlene Powell's QQQ's videos to trade the Q's (sort of a day trading up and down, buying puts and calls) so I just assumed she has developed something similar off that, but I don't really know. I do know she doesn't use spreads, because she told me
    so, and I prefer SELLING strangles or risk defined spreads to BUYING calls and puts. Totally different trading style. And I no longer pay for systems when TastyTrade gives it away, and I feel it's superior anyway.

    ReplyDelete
  39. Bev,
    Just discovered your blog and wonder if you have looked into Terry Allen's TerrysTips.com and his 10K strategy using calander spreads?

    Bob Weber

    ReplyDelete
  40. Hi Beverly,
    Wow!! I really appreciate your candor. I'm like most people who have blogged here (voracious appetite for learning.. .spent lots of money and got burned on a few courses like optionetics, fishback's advisory). I've been paper trading chris verhaegh options system (straddles, strangles and some directionals) and really like it. I also check out tasty trade a lot. Really cool stuff there (esp. karen the supertrader). I will def look into OA. Thank for this.. and thanks for everyone who chimed in and shared their experiences. I took a hiatus for a few years after losing a lot of money (200k... directional trading), and now feel like getting back into the swing of things. I was gonna check out chuck hughes stuff, but it's a bit pricey (credit spreads). As of now, it's chris verhaegh and tasty trade.

    Blessups,
    Marc

    ReplyDelete
    Replies
    1. I am considering Chris' service. Any additional comments?

      Delete
  41. Nope, haven't heard of it, Bob. I don't much like calendar spreads (haven't had much luck with them) so Iimagine I'll be
    sticking to credit strangles and credit spreads, iron condors and naked options. I think I've found my groove with TastyTrade's philosophy. Thanks for reading. Bev

    ReplyDelete
  42. Beverly, at first you seemed very enthusiastic about Options Animal but your most recent posts sound like you are now recommending that we should not pay for any education and go straight to Tasty Trade instead. Did you decide Options Animal was not the way to go after all? What made you change your mind?

    Thanks,

    Cindy

    ReplyDelete
  43. Hi Cindy, I think I've explained this in later posts, but it boils down to a total shift in my view of trading options. Options Animal is a terrific outfit (reputable, trustworthy, informative) but their philosophy of options is not very different from other programs that teach basics and strategies. All definitely worthwhile information, but not anything like the transformitive approach of Tasty Trade, who does not use fundamentals or technicals at all. TT is devoted to their own philosophy which more involves implied volatilitiy and probabilities. Also, they are free and have high intentions of making retail option traders successful and autonomous without making it about THEM earning money in order for you to learn. It's a rare find. Sosnoff is a man on a mission, and has enough money already (from developing and selling Think or Swim) to float his dreams of transforming the financial awareness for future traders. (especially the youth of today are financially illiterate). I don't know if that answer helps you, but those are my reasons. I have utter respect for the people at Options Animal. I just think it's very costly and not the answer, after all.

    ReplyDelete
    Replies
    1. Thanks. I understand now. I take it that you don't subscribe to "Bob the Trader" on the Tasty Trade site since that feature does cost money? BTW, I am not a total beginner in options. I took the basic class at Optionetics a long, long time ago. Never did much with it as we never learned practical things like how to adjust your trades. But it sounds like I can get good info about Option Trading from Tasty Trade. I can't watch anything live though as I am at work all day. Sigh. But I think you mentioned that I can watch the recordings. Just have to figure out where to start with that.

      Thanks,

      Cindy

      Delete
  44. Hi Beverly,

    Based with what you know now, would you have purchased the Wendy Kirkland's T3 and P3 systems? Do you feel the systems helped you become a better trader?

    Thanks

    ReplyDelete
  45. Aw, I can't look back that way. I did what I did at the time, and I got to where I am in a process. If it hadn't been for Wendy Kirkland and her pink first book, I wouldn't be trading, so I am grateful I met her and befriended her and got the chance to learn. There's no crystal balls, and we all take our paths. I regret all the monies I spent (and lost) over the years learning this skill, but maybe it was the way I had to do it. My blog is about trying to save you all the same expensive process.

    ReplyDelete
  46. So Glad I came across your blog, I've been on this journey off and on now some 20 plus years and just when I master one system the market does something else.
    I got in the option buying during the tech boom and when it changed got wiped out so when I got into P3 I saw the same setups and when the markets changed again I had seen that show before and headed for the door before too much damage was done.
    I was about to look at the new systems from Wendy as the markets change again but the price made me stop and look around.

    I really would like one system that works in all markets, baring a crash, with minor adjustments. This option selling system sounds like it may be worth a look. Any tips or suggestions on getting up to speed on this system would be most appreciative.
    B..
    PS. There not allot of mind blowing Xmas-Tree charts to look at are there?

    ReplyDelete
  47. Hi B, No fundamentals, no charts at all. Get a Think or Swim account (TD Ameritrade) set up (their option chains show probabilities and are really easy to use for this system) and go to TastyTrade.com. Start going through the archives. You're going to see under "Bundles" that there are videos bundled by subject matter. You'll want to watch what you think you might not know. (I suspect you'll end up watching too what you think you already know.) I have the channel setup on my Roku and leave it on all day, so as the shows rotate, I don't miss much live. There are chartists that have time on the show (just to engage users who are not yet into the Tasty Trade system) but they are mostly contrarians and understand Sosnoff's theories.
    From 8 am (EST) to noon, and from 3 pm to 4 pm, you can see Sosnoff and skip the other shows that aren't as relevant. A lot of fun and tomfoolery goes on, but it makes it easier to digest the heavy stuff as they serve it up.

    Hope this helps?

    Bev

    ReplyDelete
  48. Hi Bev,
    Thanks for taking the time for pointing me in the right direction on the tasty trade website it truly is packed with information, I've been up all night watching video.
    I just knew there still had to be people out there that didn't have their hands super glued to one's wallet and was willing to help.
    "SuperTrader Karen" is an amazing story and has gotten me excited about trading for the first time in many years.
    I've always been very apprehensive of option selling, maybe a credit spread or to cover a failing security was my only ventures into option selling, the way they explain it, it's no more risky they a stock trade.
    I like the limited chart use and just using the data in-front of you, no endless fussing about with stupid news bogus balance sheets and insider shenanigans.
    Getting access to the TOS platform is going to be a challenge for me though and I don't see a way to properly do this without it. It's a pity one couldn't get access to it without a broker account.
    Lots and lots of video to go, your tip on "Bundles" was invaluable.
    Thanks again for taking the time and saving me bundles of cash buying more courses and "training".
    B..
    PS. Retail Forex Trading “Just Say No!!”

    ReplyDelete
  49. Oh, good. Glad you see the value there! I think you can get onto Think or Swim without funding an account. Just go through the steps of opening an account and you can get to the data you need. (their charts are pretty nifty too, if you want to use charts at all. I use them for trend and price lines only).

    Thanks to you too. Never got into forex trading, thankfully. I'll sell a few of the ETF;s (like FXE or FXJ) but that's about it.

    Let me know how it goes and if I can help in any other way.

    Bev

    ReplyDelete
    Replies
    1. Yeah, No joy on the TD Ameritrade account:"Based on the information you provided, you're not eligible to open a TD Ameritrade account"
      Being a foreigner I therefore must be a drug dealer, money launder or terrorist.
      Oh well stuck at optionsXprees for now i guess.
      B..
      Good Luck & Happy Trading :)

      Delete
  50. I don't understand this at all. If OptionsXpress will take you, TDA certainly should. I would call them directly by phone,
    OR better yet, write a detailed, informative email to Tom Sosnoff at TastyTrade and ask him WHY would they not consider you
    eligible (tom@tastytrade.com). He answers all emails, so you should get some answer. If you're good for one broker, why not another? More info, please?

    ReplyDelete
    Replies
    1. Hi Bev,
      I've had my OptionsXpress coming up on 10 years now, not much has changed other that C.S. buying them out but lucky didn't eject the foreigners but I did get a letter informing me my account had been moved to the EU office.
      Been doing some checking into TDA they have closed most if all foreign accounts and since TOS is now a part of TDA their foreign clients got closed as well.
      I found a number of post in forums going on in length about this, gotta love Google.
      I guess looking at the other end of this with all the new draconian regulations and other such nastiest going on in the world of finance if I owned a US based brokerage I probably would do the same thing, who need the hassle when ones business can now be target for closure for all manner of childish reasons, of course it does help to have friends in high places.
      In further reading into this and I've found its happening the other way around as well as many foreign based brokerages have closed all US based clients as well for their own protection.
      This, I believe is not going to end well, the whole 1st world has devolved into 3rd world thinking, very sad.
      I'm just going to stick with my simple options strategies at OX for now, I'm too small to get into this fight.
      Good Luck And Happy Trading.
      Pete.

      Delete
  51. Wow, you've given me an education. I had no idea any of this was happening. Funny thing is, a LOT of foreigners call in
    to Tasty Trade from Mexico, Canada? At any rate, you can STILL trade volatility and probabilities on ANY brokerage (it's just easy to look at the chains at TOS) I think if you check the bundles, you'll find instructions on how to simply compute probabilities on your own. I do think OX shows implied volatility, as I remember? (I used to be with them too, but it's awhile ago). Shucks, that's a bummer. Why can't we all get along, huh? :-)

    Best of luck to you too, Pete, and good trading.

    ReplyDelete
    Replies
    1. I think allot of foreigners setup duel address and pay US taxes just to have access to these sort of things, it's been suggested to me many times, I personally would never feel comfortable doing this.
      Outside of purchasing very expensive options software and it's data subscriptions I don't think this can be done with the same level of proficiency that the TOS platform brings to the table, well from what I've seen of the videos anyway.
      OX platform and delayed data is not going to cut it, if you remember Darlene Nelson Powell going into this at some length in her QQQ's videos.
      I fear this will end sooner than later and for now I'll keep buggering on with the tools I have available to me, selling naked options is just not going to be in my trading future for now and maybe that's for the best.
      Great that you take the time to respond to these posts, many would not.
      Good Luck & Happy Trading :)
      Pete.

      Delete
  52. Hello. I came across your site the other day and I wanted to give a link to one of my webpages:
    http://tradelog.home.comcast.net/~tradelog/o.htm or http://tinyurl.com/ok9ws3k

    There is a ton of free content out there and you really don't need to pay a lot for an options education. Options have been around for 40 years and are very standardized instruments. There are no options "secrets" or other hype. I suggest people read the free content on the web and the library. Then find a good teacher to fill in any blanks. The bible of options strategies by Cohen or Options spread strategies from Saliba are good books.

    ReplyDelete
    Replies
    1. I followed some of your links for Simpler Options. I took their weekly options course and I am having good results of about 2%/week. Their indicators are free on TOS. Just look under John Carter Studies. Send me your email address as I would like to discuss some of your experience with the links you provided. My email is bp91910@gmail.com.

      Delete
  53. Hi, Thanks for this great site for us traders. I lost money with Wendys P3 in Mar 2011 so got out of it. Has anybody tried the Merit system with the Qs that she is advertising with those enormous returns. I also tried C Hughes with limited success. He seems to have a good system but you have to get in when a new trend is just starting or u will lose too much maybe and have to get out. He is more into promoting his advisory and mentoring I think. You can't believe all his trading systems and just go in head first...u will lose.

    ReplyDelete
  54. Bev,
    Thanks so much for all your insight. I have been trading for almost 5 years now and I am very frustrated as I can't seem to do any better than break-even. I have spent thousands on education but can't seem to get to the next level. I am considering Options Animal but it is very expensive. What is your take now that you have had time to go through the whole program? Was it worth it? Do you consistantly make money using what they have have taught you? Do their ideas to "fix" trades work most of the time? I would love to have a conversation. Thanks, Dan

    ReplyDelete
  55. Dan, I keep recommending Tasty Trade.com, a totally different FREE education, a new online financial network run by Tom Sosnoff, the creator of Think or Swim.
    I wouldn't spend another 5 Cents on Options now that I've found this resource. Totally new content, and if you read through my blog, you'll see lots of posts by me
    about it.

    ReplyDelete
  56. Thanks for the reply. I have a tastytrade account but haven't been there in quite some time. Is there any show or training in particular that you find helpful at tastytrade? I really want to sell spreads and puts, but can't seem to find the right mix. Are you having success with what Tom and team are preaching? Thanks again for your insight, Dan

    ReplyDelete
  57. Their whole philosophy is an evolving and exciting concept and bears study. TONS of archives for learning, watch the archived videos by subjects that interest you.. I'm having much success with it, and wouldn't dream of trading differently again. (my own problem is a lack of funds, and the more fund you have, the more success you can create. But I am not deterred. It makes total sense, what they "preach" but the thingis that they are backing up their concepts with research instead of the trading Kool Aid and Voodoo of traditional traders. Selling strangles and selling premium via spreads and condors is the ONLY way to go, IMO. Tastytrade is coming out with a new software kit (an addition, not a replacement, to the Think or Swim brokerage) which will further enhance their "mechanics" and "principles" of trading. It is truly exciting stuff because they don't pontificate but evolve their OWN trading as they research IV and duration and sizing of trades. Trade Small, Trade Often is the key. MANY trades but small. Check it out. Thanks for dropping by.

    ReplyDelete
    Replies
    1. "Trade Small, Trade Often."

      I admit it's a pretty good strategy, but in general only if you can pay low commissions, which TOS doesn't offer. And trading often is great for your broker, and Sosnoff is probably still connected to the brokerage in some way. So rack up those commissions, just don't forget to make money, for yourself.

      Sosnoff's focus on probabilities is the key to professional trading. What most people don't realize is that you give away most of your edge in commissions and slippage.

      Delete
  58. Thanks Beverly for sharing such great information and enabling us to benefit from your experience!

    ReplyDelete
  59. Thanks Bev for sharing your learning journey - could have saved myself a lot of time by finding your blog earlier. Trade small, trade often, disciplined money management and don't break your rules seems to be the best way to stay in the game and actually get rich slowly. That plus never stop learning. Thanks for taking the time to help others in their journey.

    ReplyDelete
  60. I have been a student of Options Animal. They have good content for an Options Beginner. But for an Advanced Options Trader, there is not much. They keep marketing the idea that by using Adjustments one can turn a loosing trade into a winner which is not always practical because the market can move in the opposite direction after one has made the adjustment and you may need another adjustment and it goes on and on..... If you can buy these 3 books from Amazon [ 1) Trading Options as a Professional by James Bittman, 2) Option Greeks by Dan Pasarelli, 3) Option Volatility & Pricing: Advanced Trading Strategies and Techniques by Sheldon Natenberg] and read them 3 times and follow the trading ideas on tastytrade.com, you can expect to become a decent Options Trader in about 3 years. Trading is hard work and requires intense discipline and risk management. Good luck.

    ReplyDelete
    Replies
    1. Thanks for the input. I've been looking into their program.

      Delete
  61. Bev;
    I came across your blog and I thought I would add a few comments. I've been a casual investor for many years, basically following what was recommended, and throwing some money into a 401k and an IRA, but not too much. That said I never had a large retirement account, but I was interested in options as far back as the early eighties. But trying to complete an education and start a career and family, time sped by. The I decided to move across country to start a new life in a new place, only to see the financial markets melt down the following year. I had most of my hope in real estate, California real estate that is, after owning four houses there, and losing two, I finally realized these are definitely not investments, and not liquid in any way. So I started looking at options back in 2008, just when markets were melting down. Like you I grabbed any reference material I could get my hands on to learn what this was. It was very frightening at first. I threw a little money at it, but really did not know what I was doing. The I discovered Thinkorswim, and over time began getting better at knowing their software. The best thing they have to offer? It's their paper trading account that is identical to real trading platform in almost every detail. They let you start out with $100,000 and can do what you want with it, if you lose it all, just start over. Well many people will say its not real trading, because you really do not have any skin in the game not being real money. Don't get me wrong, I had a real account as well, with as much as $9000 in it at one time. But after being laid off for over a year, you can imagine where that went. Now back to paper trading account. Since 2008 I have grown my thinkorswim paper trading account to $1,250,000. starting with $100,000. So basically what this means is a few things, I do not think anyone can make money in this game without a substantial amount of capital to begin with, and if you are beginning without any knowledge at all, you might have a better chance at powerball. But look at it this way moment, and to ask yourself, how did I do that then? Well looking back at it, I can only say this, I am still learning today, and still making mistakes today. But the most valuable thing I have learned to this point is probably this: 1 watch volatility, be ready to take positions where you are selling them out of the money when it spikes, because when it does all options generally become more expensive, and if you can sell at just about the right time, within hours after this, the volatility collapses and so does the value of the position you sold, and you now are in the money. Now if this stay like this long enough, and you hope it does, and time starts to decay value of position, your credit keeps increasing, and you are now at an advantage. 2. Now shift into managing the position. If you have some credit gained over time from value decaying, you can use this as leverage when you have to adjust the position. And guess what, more often than not you will have to adjust. Now this is what I have done, and I am not giving advice, but this is what I have learned, being able to stay in the positions is extremely important. 3. Understand the relationship between calls and puts of opposite and equal strikes. I'm constantly analyzing this. Because this is one of the keys I had to learn, when you are losing on one side of a position, the value of the opposite calls or puts are gaining value. To me i found this critical, to be able to identify a strategic defensive move before I had to actually make it in the way of an adjustment, and then not waiting too long to actually enter the position. 4. By using thinkorswim, I like to watch my risk profile current value line. I am not going to go into the greeks here, but when you start to understand these, you can really fell like you are in much more control of the outcome of your trade.

    ReplyDelete
    Replies
    1. Thanks so much for sharing your story~ ! I am sure this will be helpful to many others too. I agree with you, and selling volatility is the name of the game, imo.
      I need to start paper rading again too as all my money went to surviving and real estate. 2l013 was not kind to me in many ways.

      Delete
    2. Another scam. She is obviously back dating the trades and cherry picking. You would do well enough to follow the 10, 40 and 200 ma on a 1 min. chart of the q's or appl. Set a profit target on aapl of $4 or $5 dollars and stop trading for the day if hit. On the q's I'd say a good days move in your direction would be $1, but $.5 more likely. don't know of too many options that double on a fifty cent move though. But basically a 40 cross of the 200 works pretty good. Not everday, but most days.

      Delete
    3. Thanks for posting, James, but WHO is "she"?? Me? Wendy? Options Animal? (male, mostly). I no longer hold to technicals, so not sure
      your view would be mine, but thanks for stopping by.

      Delete
    4. The only thing wrong with the Thinkorswim Paper money platform is that it fills all your orders. But if you try to do the same trades on the real money platform you don't get filled. If you have a system or techniqune and willing to share my nmae is Carlos and email is smoothlos1@aol.com. I would be interested in seeing if it works.

      Delete
    5. Robert, I would be interested in what methods you used when you were doing the sim trading on TOS? Thanks.

      Delete
  62. Hello Bev,
    I am very glad to come across your very informative blog. Options trading is not for everyone unless you're willing to invest time and effort to fully understand what options entail.

    ReplyDelete
  63. Here is a quick 4000 dollar note i made to myself. I lost 4 grand putting on a double calendar spread. Why? Because i forgot to set a limit order, and the broker got me a lousy fill. My account was negative because of this, and the broker closed my position causing a huge lost. Not blaming the broker but i was mad as fire.

    ReplyDelete
    Replies
    1. Sorry for your loss. Would you mind giving us the broker company so we can be aware of it?

      Delete
    2. Wouldn't it be nice if filling brokers were in the business of getting the broker's clients the best possible fills instead of ripping them off? Well it's nice to dream anyway.

      Delete
  64. I love TastyTrades, but haven't found any videos there that teach how to adjust trades. Can anyone point me to some good info on adjusting trades?

    ReplyDelete
    Replies
    1. They don't believe in adjustments (not the Option Animal kind). They believe in managing winners, and NOT managing losers. You only adjust winning trades
      and get out of the bad ones, or let them go. Adjustments to losers is a losing game (and it gets expensive). Whereas managing winners works. TastyTrade has
      done many studies that taking 50% to 75% of possible profits is the most successful, so one doesn't hold to expiration and one doesn't keep adjusting for
      "hope". If you think a good trade is truly good and just hasn't paid off yet because of a REASON (and not just hope), you will roll it or adjust it. Look at the videos for "Managing Winners" and "Rolling trades" and such instead of looking for adjustments.

      Hope that helps.

      Delete
    2. I found a TastyTrade video the made recently in their Best Practices show called "Saving Face". Here's one of the slides:
      Q: What are some of the ways to defend a trade that has moved outside of the expected range?
      A: There are a number of ways we can adjust trades in order to "save face". A few ideas:
      -Add to or enhance the trade
      -Hedging with stock
      -Roll up and/or out
      -Close or Reposition Trade.

      Delete
    3. Yes, absolutely. But I do think this is a matter of semantics rather than the way OA uses "Adjustments" as a buzz word that represents their philosophy (of no stops like so many other mentor trainings do. (and they're right to do so). But this item above from Tasty Trade is a very generalized use of the term to
      cover a generalized bunch of situations where one might want to save face. I see it as a list of possibilities with no real "meat" but suggestions. Not the type
      of "Adjustments" I learned at OA. Managing Winners is the buzz word of Tasty Trade, if you wanted a comparison.

      Delete
    4. TastyTrades method of "managing" winners is to close them at 25 to 50 percent of max profit. I'm a big fan of that. And TastyTrades has the back testing to support it. But when a trade is going against them, they do adjust it rather than just hit a stop loss. Some of their recent videos even talk about going inverted if the trade has gone far enough against them. Everything I'm seeing from TastyTrade recently is that the close winners and adjust losers. Whether or not they adjust them the way OptionsAnimal does or not I couldn't say. But I'd love to see some example comparisons from someone who knows.

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  65. Keep one thing in mind. One reason credit spreads and Iron Condors have become more difficult is because everyone is doing them, and market makers are not in the business of funding your retirement. This is one reason you're seeing the one-way rips we've been seeing -- large institutions and market makers are going after all the retail traders' "Iron Condors". If too many people are doing it, it becomes less effective.

    If you want to be really profitable try to find a system that is both profitable and unique, doing things in a way that most others are not. It takes a little creativity but is not impossible.

    ReplyDelete
    Replies
    1. I really don't think this has anything to do with reality. Market makers these days are electronic machines. The "system" is far more complex (involving the
      huge institutions and their hedging options (watch Karen, Supertrader videos!) than the little retailer and his puny iron condors.

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  66. Can anybody tell me what is the recent rate for Option Animal 1-3 or 1-5 or all 8 levels. It looks like they goes with bargain. At the beginning (2012) somebody mentioned about lifetime membership, is it till active? If yes, then how much you pay for how many level? Thanks ahead.

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  67. It is likely negotiable. Call them and they'll give you plenty to think about.

    ReplyDelete
    Replies
    1. I'm not going to publish your responses, as the fees they charge are not public business, but I was being facitious. After all I've written in this blog, I never thought
      anyone would think of paying that kind of money again for options training.

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    2. Hi. I just encountered this blog for the first time and find everyone's frankness refreshing. I'm an out-of-work physician (long story) who started trading options 8 months ago. I had some beginner's luck with directional calls and puts which quickly fizzled. I tried mentoring, but his strategies (buying/selling gaps and moving average crossovers) were too aggressive. I spent several thousand dollars on newsletters and software (Vantagepoint). The software worked ok in trending markets, but not the slop we've been in since the start of the year. I have had the most success trading weekly iron condors as long as they are at least 1 standard deviation OTM. Expiration day is can be quite nerve-racking, though. I am definitely going to check out Tastytrade. Thanks again.

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  68. Thanks for your comment, Mike. Your experience sounds very familiar (to a lot of us). This market is no friend to volatility traders (Tasty Traders) but when/if the market
    ever gets back to normal, it's worth a look. Do some papertrading first! Right now I'm exploring futures, directional daytrading. Just for the interim.

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    Replies
    1. Hi, Bev!. I came across your blog on March 29th and was just checking to see if you had posted recently. Would recommend Stephen Bigalow's books on candlesticks. Turns out candlesticks have been around for about 400 years and we still use them today. First used by Japanese rice traders. If you can catch him in free webinars sometimes, it will be time well spent. Think he has some videos on you tube. The candle sticks apply to stocks, options, futures, commodities, etc. He has a chat room and a website. I would say he is close to the real deal including corny jokes. I would watch his videos free on you tube and get on his mailing list. A lot of times there are nights where everyone is invited to hear him or a guest speaker. If you get on his mailing list, he will send you times, dates, and passwords. You want to hear him.

      If you do not have Jing free software google it and get it. You can copy charts, drawings, and it is free. Have never had a problem with it.

      If you want to record a video or lecture or whatever go here and down load this free software: Blueberry screen saver http://www.bbsoftware.co.uk/BBFlashBackExpress/Download.aspx

      Have never had a problem with it either.

      If you want a free virtual trading account that seems to work like the real deal but you don't have Think or Swim (TOS) you can go to
      http://www.cboe.com/tradtool/virtualtrade.aspx

      That is CBOE the Chicago Board Exchange. They will assign options to your account just like would happen in the real world if you screwed up.

      I am heavy into paper trading because I have blown two accounts. It did not have to happen that way.

      Stay away from anyone who is telling you that you will make a fortune in a short period of time. Do not walk. RUN.

      Am not a follower of John Carter but he said something very good: that most good traders spend the first 2 or 3 years losing money. Then they spend the next couple of years learning how not to lose it. After that they start learning how to make money.

      I'm at the "learning how not to lose it" stage.



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  69. Hello Bev; One of the few blogs I've actually read all the way through as the content is deserving. I'd like to add something to the OA discussion that speaks volumes about where their collective heads are at. Several years ago while on the hunt ( and before discovering TastyTrade ) for somebody that would present options past the theory. I was attracted to OA as they made considerable effort to talk about trade adjustment. I made a point to attend the numerous "invitations" that would show up in my email inbox. Then to my incredulous disbelief I actually got a phone call from one of their reps telling me that if I didn't buy something to stop coming to the free intro webinars - seriously. They got their wish. I have made it a point to discourage anyone from doing business with that attitude as a mission statement. They were pushing their courses for 5-6 grand then and after reading what your and other's experiences have been like I sure feel like I dodged a bullet on that one.

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    Replies
    1. Eeek, sorry to hear this story. I don't hear many stories about OA like this. Greg Jensen was very fair with me, and I basically owe him money which I can't pay. He has not pursued me or even tried to punish me. I am still welcome to OA, so it's hard for me to bad mouth people whose hearts are in the right place, just because I no longer agree with their philosophies. I believe Greg Jensen to be a good man. It could be some ambitious rep was throwing his/her weight around, but I might consider that Jensen would not be that person at all.

      I DO have a problem with huge fees for options training, which is what this whole blog is basically saying. But hey, that doesn't mean they don't have the right to try to sell it. I maintain you can get it for free. And I'm really sorry to hear about anyone getting pushed around. I bet it made you feel bad, and I'm sorry.
      Shame on the person who was that dumb to do that.

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    ReplyDelete