The biggest mistakes in option trading I see are when people choose to learn by experience instead of learning by wisdom.
There are 2 ways to learn: you can learn by wisdom or you can learn by experience
One is cheaper on the front end, but more expensive when all is said and done and the other is more expensive on the front end, but wounds up being cheaper overall. For example...
I paid roughly $9,000 for an option trading course that would teach me how to trade stock options. I was broke at the time and had to put the money on of the only credit cards I ad that wasn't maxed out.
My mentor at the time helped me to see that the $9,000 I paid was not for the education, but the 20+ years this guy was saving me.
To learn everything that was taught in the option trading class would have taken many years of trial and error to learn. It also showed me how to avoid the biggest mistakes in option trading.
I could have taken the grass roots route and learned for free by scouring the web and trying to put together my own option strategies and techniques.
It would have been cheaper, but I also would have lost a ton of money in the process. That is just the nature of how trial and error works. You have a ton of failures until you find a winning combination. That is what I mean by learning from experience.
By signing up for an option trading course and learning from someone who's been there and done that...I was learning by wisdom.
And in doing so I discovered the ultimate success formula: find someone who has already done what you want to do and just follow in their footsteps. It cost more on the front end, but you also don't waste a ton of money figuring out what doesn't work.
This is also the formula that every single wealthy person I know follows.
So let me show you 2 real life examples of how this plays out. Here is what happens when a person signs up for an option trading course and then ignores the advice given.
Watch the options trading video above to see actual trading results from an option trading course where one person grew their account to $83,000 and another trader ignored advice they learned in a course and lost $70,000.
It's like telling a kid to not touch the stove because it's hot. Some people just have to touch the stove anyway.
So you have a choice...do you want to be the person who made $83K and kept it all or do you want to be the person who made $38K and lost it all and some...
You can make consistent profits trading stock options, but it will depend on your ability to remove yourself and your personality quirks from the equation.
Mastering online options trading is essentially an exercise in mastering yourself and your emotions.
Making a ton of money with options in a very short period of time is possible, but that extreme possibility works in the opposite also.
You can lose ALL of your money in a short time because of the leveraged nature of options so it's important to...
The biggest mistakes in options trading can be avoided. When I first started trading I was an idiot and paid the price of stupidity. I paid the price so others that follow me don't have to.
And here is what I learned the hard way...all the advice in the world can't help you if you choose not to follow it...
So don't forget the ultimate success formula: find someone who has already done what you want to do and just follow in their footsteps.
It may be more expensive on the front end, but the pleasant trade off is that you have more time to live the life of your dreams.
And that sure beats 20 years of trial and error with no guarantee that you will ever discover what really works.
Disclaimer: The type of options trading success on this page is not typical and I'm supposed to tell you what typical is. Well I'm sorry to say that I have no idea what typical is because each trader is different. And with anything in life there are always people who purchase products and do nothing with them. I will however tell you that these types of returns are not unusual and I have several student emails to prove it.