Its fairly common for people to boast about their “winners”. Happens in all facets of life. I’m sure you have heard it… “My kid made Varsity basketball!” (and he’s got a solid C average). “I won a 4 team parlay Sunday!” (and lost money every other week this season). And when it comes to investing, everyone likes to brag about their winners. “I bought Netflix at $98! (and GE at $50 and Twitter at $35).
But in today’s social media world of virtue signaling, it has apparently become fashionable to brag about your losers too. Witness this nitwit who put on an options trade he didn’t understand, bragged that he couldn’t lose money and then proceeded to lose so much he ended up with negative equity in his trading account. And he says he’ll be back for more. I’m assuming he isn’t married.
If you don’t know what you are doing – and believing that you have zero downside and an attractive upside in the options market is startling evidence that you don’t – then you need to close the trading app and go watch Game of Thrones or something. Repeat after me: There ain’t no such thing as a free lunch. Keep saying that until the urge to trade goes away.
MarketWatch: Trader Says He Has No Money At Risk, Then Promptly Loses Almost 2000%
If you’d like to learn about a sound investment strategy, one that makes sense, call me at 954 495-7805 or visit us at Alhambra Investments.
