Lost everything today. I had $10k in my account that I couldn’t afford to lose. Saw earlier that META was forming a wedge and thought it would pop down since SPY was tanking. Instead right after i bought, SPY reverse hard. I’ve been doing pretty well these past couple weeks, which made me think I was unstoppable. I got too greedy and I paid the price. I’m just making this post to rant and make a promise to myself to actually use risk management instead of saying “I’ll use it after I make this so and so amount of money”.
Please don’t be like me and gamble your whole account.
byu/minijtp inoptions
Posted by minijtp
13 Comments
s’all good man, we’ve all been there. Just have to learn from your mistakes and keep on chugging.
It happens man. Good luck moving forward try not to beat yourself up, easy come easy go
this scenario is literally the norm and is known in the broker industry as the “90 90 90 Rule” (90% of new accounts are down at least 90% within 90 days). Google it, you just did the same as everyone else..
Everybody feels like genius Einstein in a bull market.
You didn’t do “well” OP, you got lucky. Most of us here have blown out our entire accounts during our younger years before and now its your turn. Just consider this a very expensive college tuition lesson. Learn and read up on managing your risk exposure and you’ll be a much smarter trader in the future.
Don’t mean to kick you down but you should never invest what you can’t afford to lose. Especially if it’s through options.
Paid your $10,000 tuition payment – check
How did you blow the 10k? Held into worthlessness or did you just lose a lot on the contracts before stopping out? Just trying to get an idea of the specifics of the trade you are describing.
It never ceases to amaze me how many noobs think that they can beat the market without putting in the years preparation needed to succeed. I suppose that the fast track is learning while losing but that was never for me.
My learning lesson was the crash of 1987. That taught me that I needed to learn about risk management. I then did.
OP: I’m sorry for your loss. All traders have losing trades but this is a thumper. Learn from it.
“He all in on a put? PAMP EEETTTT”
The biggest difference between gambling and investing is only the latter has a positive expected return when the person has no idea what they’re doing.
> That I couldn’t afford to lose
Then why the fuck are you trading with it?
I don’t think ‘risk’ is something people understand until their 30s. In their teens and 20s they can see it but it isn’t real. In your 30s you can actually quantify and feel it.
See you Monday