Selling options, finally!

I stumbled onto this book "Complete Guide to Options Selling" on one occasion.  Can't remember when and how, but that completely changed the way I look at options trading forever! 

I was fascinated with how people could actually put on trades on this side of the market and it seems very logical for someone who always get on the wrong side of the trades.

It is a book on selling options in the futures market but the strategies explained in it blew my mind away. I knew somehow,  this has to be it!

And this started my thorough search into this niche and seldom heard of field of selling options, instead of buying them.

Wild dreams

The black box trading system

Learning about covered call options soon led me on to the more sophisticated kind of trading--- the use of some black box trading system which is supposedly good at screening stocks options opportunities for you!

This sounded too good to be true to me then!  Simple steps,  no research work needed, and just need to click s few buttons and that's it! Can you believe it? ?!! Well, I did!!

I attended one course which sold a particular kind of options trades picking capacity. .. cost me around $2k then! Forgot to mention,  there is still a need for some online subscription to data feed every month.  Amazed by what this software could do, I trusted the first signal generated by it and did an actual trade.  Complete disastrous! ! The stock gapped down the following day and never recovered even after the options I bought expired!

I sold it off straight away and gave up hope on such thing from that point onwards.

That broke my dream of making money using options for a while.   I took a  break off trading and went back to the drawing board once again as I was completely lost of how to proceed next.
However,  I still firmly believe that it is possible to make money using options and I held on to that belief while in pursuit of the next holy grail. ...

Wild dreams

The First Encounter!

On one occasion, I read this advert in the papers featuring how this Australian guy was able to turn a few thousands into millions using a particular trading instrument.   Entrance fees to his seminar of 3 hours cost $50 but I went, out of curiosity,  of course! 

It was a seminar with over hundreds in the ballroom.  A powerful speaker I would say, he swayed the entire audience over with his covered call strategy.   Options trading was seldom heard of during that time, not to mention covered call! I was really thrilled with his talk and that opened up a totally new perspective in me to this fascinating world of options trading.  The $50 was well spent indeed!

The cost of the programme wasn't cheap,  a few thousands at least,  and came with some proprietary stocks screening software.  A number of people did sign up with him, but I didn't.

I was thinking then. ... "is there a cheaper alternative? ".. I believed there should be, and I began my search in this niche sector. ...

How the journey began...

I believe many people started out trading with stocks.  Me too! :) looking back,  that should be some time in 1996? Yes, long way back!

I hadn't gotten much success in trading stocks really... or should I even use the term "much success" at all??!! To be precise,  I think I only had a couple of trades which made me just a few hundred bucks while the rest of the trades were bad... and some even nearly wiped out my account! Maybe I was missing out on luck then? Hahaha. .. or rather the most likely reason could be I was just not a stock analyst like some others who really are able to make good money in the stock market buying great stocks!

I stopped trading for a few years because I was literally lost in how exactly should I proceed then.  Rather than throwing good money after bad, I stayed on the side lines... searching hard for a holy grail , if that exists in the first place!

During that few years of research,  I picked up knowledge on technical analysis,  many different types indeed!  Candlestick analysis as well as support resistance studies appealed to me most.  I was really impressed and astonished at the kind of tools available in the market to study and analyse stocks! !

With that new found knowledge,  I put it to test once again. ... it worked at first and I was thrilled thinking that I had found the secret to unlocking wealth in the stock market!   But well, sometimes it failed. .. as expected.  Success wasn't consistent at all and I went back to the drawing board,  in search of the next better option.

Alrite. .. getting a little late now... let me continue the story again another day. . Stay tuned!  ;)

Wd

Hello Options Sellers out there!

Hi!

Welcome to my blog!

I'm an options seller in equities as well as futures.  Join me in my blog if you are one too or are thinking of becoming one!

wild dreams