That’s the noise one Reddit user made as he watched his options trade disintegrate in seconds.
The young man exploited a glitch in the Robinhood trading app to borrow $50,000 for trading.
He then went all-in on Apple Inc. (Nasdaq: AAPL) put options — a bet that the stock would go down.
But when Apple released a strong earnings report and the stock climbed higher, his options contracts instantly became worthless.
The trader was widely mocked online for his foolishness. But it isn’t easy to make money from options.
In fact, options buyers lose money 90% of the time, according to the Chicago Board Options Exchange.
And that’s because they’re making one catastrophic mistake…
Why People Struggle to Make Money With Options
Ian King says the reason why people struggle so much with options is they must get three things right before they make any money.
There are thousands of stocks out there to choose from. And you have to pick which one will have a lot of price movement.
Once you’ve chosen your stock, you have to bet on whether it’ll go up or down.
Like you saw with the “GUH” trader, it’s easy to get this part wrong.
- Time frame.
Even if you did your homework and your thesis is right, an options contract usually expires after a short period of time.
So, if the big move doesn’t happen exactly when you expected it to, your options won’t make money.
It’s no wonder options buyers lose money 90% of the time!
However, pro traders on Wall Street have been making tons of money off options for years using a different approach.
It’s the same strategy Ian used in his test portfolio with an incredible 78% win rate.
How to Trade Options Like a Pro
Before he came to Banyan Hill, Ian spent over 20 years on Wall Street working with some of the world’s best traders.
That’s where he learned why options are one of the best ways to make steady gains in the market — if you trade them the right way.
This strategy has been handed down for decades, from pro trader to pro trader.
And now — for the first time in Banyan Hill history — you have the chance to be a part of this powerful trading tradition.
All you have to do is click this link to reserve your spot for Ian’s special presentation.
Then, next week, Ian will reveal one of the most powerful, consistent and potentially profitable ways to trade the market.
Assistant Managing Editor, Banyan Hill Publishing
From open till noon Eastern time.
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