No Free Lunch in Options Trading 2023

There is No Free Lunch in Options Trading.

This is true of all things of real value. To do anything well requires work and lots of it. You need to practice and pay your dues.

Learning to trade is like bodybuilding.

You need to build up from a small start.

If you try to bench press three hundred pounds on your first attempt, you will hurt yourself very badly. You must build up from a small start before you get to the big leagues.

Options Trading is about skill development

Start small, keep your size in check and do not try to go for the big hit. It is a process. Options trading is more like a marathon.  It is not a sprint around the track.

You need to get the basics under your belt.  Understand the building blocks. Size your trade profitably. Let the probabilities work in your favor.

Unfortunately, too many traders still believe we live in a get-rich-quick world.

Everyone is seduced into thinking the latest speculation will make them a gazillionaire.

Sorry, but it isn’t true.

It may be true for a lucky few who get in on the first floor, but the greater fool theory always comes back to bite someone who thinks they can beat the odds. In the long run they get left holding the bag after the door slams closed.

Create real value

I prefer to create real value by learning new skills that I can develop over a longer period.

Learn the rules of the road and apply them over and over. Slow and steady is the name of the game.

And don’t get greedy

When you get greedy, you may end up in the ICU with a ruptured spleen.

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