Biggest Secret to Options Trading

I’m about to give you the biggest secret in winning the game of trading:

Making money, and not losing money, are 2 completely different concepts.

Many retail traders focus on the side of “making money,” when in reality, the more important skill to hone in on, is knowing how to NOT lose money.

We’ve seen by now how tons of retail traders have thrown in the towel, as they continue to experience a drag in their equity curve. No matter how hard they try, they keep seeing money drain from their account - slowly, but surely. Yet, they still keep trading. Why is that? 

Because they think that they just need to win more … to keep trading whatever it takes to hit a winner, when in reality, it’s because they don’t know how to NOT lose money. 

Again, making money and not losing money, are 2 completely different concepts. Deep down, this concept requires a complete rewiring of your trading mentality. Because in order to survive in this game, NOT losing money is 90% of the equation, while making money is only the other 10%. 

And because traders don’t know the difference between the two, nor how much more weight to give to the side of the equation of NOT losing money, they struggle to grow their account. They keep focusing on that tiny 10%, searching for the next hot strategy, or the next sexy technical astrology setup to trade. They continue drawing a bunch of lines on their charts, or reading up on a bunch of seekingalpha/seekingbeta articles, listening to CNBC/CNBS, looking at moon phases, staring at bloomberg terminals, looking at flow, trying to read the tape, etc … all the while having absolutely no idea that these are all distractions that take their attention away from what truly matters.

But at Options Brewers, what has continued to allow us to stay in the game amidst all of the chop and slow boil up and down in the markets, is the fact that we are extremely good at money management, position sizing, and above all, strategy selection from a portfolio standpoint. Something that 99.9% of services out there don’t know about. 

So what’s our secret? 

Easy.

One of the fundamental ways we avoid losing money, is by putting on extremely cheap spreads that actually have a chance of paying out big. 

Such as GOOGL spreads, from 34 cents, to $2.16, or +535%

Or these spreads in TSLA, from getting paid 34 cents pre-split (or 11 cents per spread adjusted for the split), to 97 cents, or +750%

Or even crazier, these spreads in MSFT, from 4 cents, to 88 cents, or +2100%

Again, at Options Brewers, we don’t mess around. We know what truly matters in trading in order to create steady portfolio growth, and consequently, long term trading success. 

So while retail traders are scrambling around trying to find what to focus on, we already know the right areas to press the bet, understand true edge, and then take money from the other 99.9% of traders who don’t know what they are doing. 

It’s true what they say - in this game, if you don’t know your edge, then you are someone else’s edge. 

So, whenever you’re tired of the same old song and dance, well, you know where to find us, we’ll see you on the other side.