Hubert Senters here.
Got a question from a viewer. Question is from Sonil.
Hi Hubert, thank you for the opportunity to reach out to you. I am largely an options day trader and I trade simple puts and calls on US markets.
If look at the number of winning trades I’ve had recently they outnumber the losing ones yet I am losing money.
So your decisions are good but your profits are negative. This is clearly a trading pyschology issue. It could be a risk reward ratio also too.
If you got more winning trades then losing trades but you’re losing money it just means you’re not holding on to your winners long enough really.
And it’s a hard thing to teach. It’s like teaching somebody how to be patient like hey, just set there be careful just set in the position don’t look at it.
If we look at it you’re want to mess with it and then you mess it up. This is clearly a psychology issue. I close winning trades too early and losing trades too like yeah, exactly I didn’t read your other sentence but yes, that’s exactly what you’re doing.
How do I setup money measure at rules post trade to overcome this? Also do you have a simple day trading strategy that one can follow for simple trading options?
I don’t trade options. There’s tons of other guys that are good options. There’s Mark Helweg, Steven Brooks. There’s Andrew Keene. There’s Scott Bauer.
Those guys are good. I would check their stuff out. But I don’t trade a lot of options. I’ve done it before. I just don’t enjoy it.
It’s not that it’s not a good market. I just prefer the futures market and stock market and all the other stuff that I do.
So what I would recommend is do this on a couple of your trades and you really need to do it on three or four. So use a stop but have an open target. Use the stop that you’re cool with.
And then just have an unlimited open target and just let it set there for a while and see how long you can be patient.
If that didn’t work I would look at Parabolic SAR. It’s a FREE indicator that it will help you trail a stop loss so that you’re not making a decision that indicators making a decision.
You just have to execute what the indicators are telling you and in my course Ichimoku cloud trading secrets I have a module in there on how to properly use that thing.
Johnny Seville is doing a special webinar on ”How to Predict Explosive Moves by Following Insiders” Wednesday, March 9th at 8PM EST. I’m going to HYPERLINK you to the registration form.
Good luck. Hope it helps. See you on the next video.
Hubert.
