How to Quickly Fix the #1 Reason Options Traders Lose
Date: September 17, 2024 Time: 7:00 PM - 8:00 PM ET
I’ve got good news and bad news and some more good news. First the good news. Options trading has taken the financial world by storm! The Options Clearing Corporation, which processes every option order in the United States, reported that they cleared 11.05 billion contracts last year. And already this year option volume is up another 5.2%!!
The bad news is that retail investors haven’t figured out how to make options work. Retail investors have collectively lost $5 billion dollars in the past couple of years.
The reason? According to investigators, “Retail investors make ‘a trio of wealth-depleting mistakes.’”
And what is the number one wealth-depleting mistake they make?
Tune in next Tuesday night at 7:00 pm ET for an ultra-informative webinar where I will reveal in great detail what researchers discovered is the #1 mistake options traders make.
Sign Up Here Now! Save my spot so I can make better trades and stop making costly mistakes.
Yet, millions are getting set to start their shopping sprees.
In fact, about 48% of holiday shoppers surveyed by Bankrate, according to USA Today, say they’re planning to start holiday shopping by Halloween.
“Special retailer sale events like Amazon Prime Days, Target Circle Week and Walmart's Holiday Deals are contributing to the early rush, encouraging early holiday shopping,” they added.
And, according to eMarketer, U.S. holiday sales are expected to accelerate. “Total US retail sales for November and December 2024 will increase by a healthy 4.8% YoY to reach $1.353 trillion, with ecommerce growing at nearly twice that rate.”
That being said, investors may want to start loading up on holiday stocks and ETFs, such as:
Amazon (AMZN)
In most years, Amazon is a no-brainer stock to buy and hold for the holiday rush. In fact, with the exception of 2022, the ecommerce giant has historically pushed higher heading into the holidays, which we expect to happen again this year.
Earlier this year, AMZN announced record-breaking sales from its Prime Day event, with Prime members taking advantage of substantial deals. Better, the company’s new AI-powered shopping assistant, Rufus, is also helping millions find what they’re looking for.
Amplify Online Retail ETF (IBUY)
With an expense ratio of 0.65%, the Amplify Online Retail ETF (IBUY should benefit from an expected surge in e-commerce spending, especially with holdings in Affirm Holdings (AFRM), Amazon (AMZN), BigCommerce Holdings (BIGC), Apple (AAPL) and Netflix (NFLX) — a few heavyweights on the list.
Price pattern is the single most important technical tool of which I make use of. Now, I’m not talking about the pennants, flags, cup and saucers, or Southern Ethiopian head and shoulders stuff that I find so subjective. I’m talking about inside days, outside days, narrow range days, wide range days, how many points and days up vs. how many points and days down. Almost everything I use is something that can be quantified so that I can go back over past data to see how the market behaves when these patterns occur.
Right from when I first started trying to learn to trade I took a look at conventional wisdom on how markets worked and started questioning the validity of it. Since a market that closes down one day actually has a better probability of going up the next, my initial research suggested I might be on to something. I continued to look for things that went against the grain of normal thinking.
If you want to do your own research, which I highly recommend, this would be my best advice to you: Look at whatever “they” say normally works and see if the opposite isn’t true. I’ve never met anyone who has a position in the “they” group, but I’ll bet “they” aren’t very wealthy! Be like your children… question everything.
Tuesday Night Vice President Harris takes on former President Trump in possibly the most important event of the campaign season. Arguably, this Presidential Debate could be the most important day of Donald Trump’s political life (if you don’t count beating Hillary Clinton in 2016).
If politics isn’t your game, maybe you’ll enjoy GameStop’ s (GME) Earnings Announcement. It comes after the Close on Tuesday.
An hour before the Open on Wednesday the Bureau of Labor Statistics will release their monthly Consumer Price Index (CPI) Report. About an hour after the Open on Wednesday my Assistant will be getting in his car to start his 15 hour +/- drive to the wedding of his close friend’s son.
The Bureau of Labor Statistics will be at it again on Thursday an hour before the Open. They will be releasing their monthly Producer Price Index (PPI) Report. My Assistant will finish his epic journey on Thursday. Once again, probably leaving about an hour after the Market Open.
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