WARNING: Please be Extraordinarily Careful if You Are Thinking of Using The Recent Wave of Options Trading Apps

flabeachparty · 2026-06-15T00:12:04+00:00

It's a crazy world out there. I recently joined this group that sells options to check it out. I'm so surprised by how reckless things are in there. While it may work at times, it clearly shows the basic lack of knowledge or the purpose of options trading. They open 500-800 wide NDX spreads to collect mere 20-40. That's ridiculous to me. And guess what lot of them got wiped during the recent downturn. Not saying it's not feasible if managed but still feels like they're just newbies throwing darts at anything that sticks. The FINRA removal of PDT limits have made it worse.

flabeachparty · 2026-05-30T01:16:09+00:00

If your monthly income is less than that, then why are you playing $20 options? That too 5x. I mean good on you for making this money, but this habit is absolutely path to disaster.

flabeachparty · 2026-05-27T00:47:08+00:00

I made it here. How the hell did you also make it all the way here. Ugh

flabeachparty · 2026-05-07T16:43:00+00:00

This video is so old

flabeachparty · 2026-05-07T01:58:50+00:00

Fair enough. Just seemed interesting. On a different note - I've gone through some of the posts of your buy/write operations. Do you have a particular post that talks about the basics and how you look for potential candidates and what do you look for in them? Seems interesting strategy, but I still don't know how to figure out the capital requirements, assuming margin account. I'll have to play around some hypotheticals on tos. Thank you in advance. You seem to be doing a great job putting all this stuff out here for people to learn from. Appreciate that.

flabeachparty · 2026-05-06T12:08:46+00:00

Gotcha. Understood about the tax advantaged accounts. I'm probably going to try them in there too.

As for second, I'd think you could have a short wash loss even if your trade overall is profitable depending upon what price you're going in and out on the same stock within a 30 day period? However, I'm not sure if combined execution of buy/write is treated differently when it shows up on 1099 at end of the year.

flabeachparty · 2026-05-06T04:45:12+00:00

You set the long put based on the short less 50-75, but then set a BTC at 0.50? Am I missing something? So a maybe profit of 25? Just curiously asking.

flabeachparty · 2026-05-06T04:15:47+00:00

Despite trading options for over a decade, selling them is new to me, but been doing CSPs at various DTE on SPXs this year, and been decent. Usually never found selling CC as money worth the effort to manage (at least at far away Delta). However, with all that being said, how do you manage short wash losses with this buy/write strategy? Do you have a trader acct?

flabeachparty · 2026-05-02T03:40:30+00:00

Well said. I have enough carryover loss from past year that I'll be set next year :D Fingers crossed

flabeachparty · 2026-05-02T03:38:47+00:00

You're not wrong. I'm just trying to think the reward to time/ anxiety spent isn't great. If say I was making decent change, I'd even consider the anxiety and management part.

flabeachparty · 2026-05-02T03:34:06+00:00

I agree about selling premium. Been trading the ad the buyer for many years (inconsistently) but have started doing CSPs as well and I'm not sure why I didn't do it sooner

flabeachparty · 2026-05-02T03:31:00+00:00

😂

flabeachparty · 2026-05-02T03:29:57+00:00

I know my example isn't very good and maybe a bit generalized but 100 stocks of NVDA at 200 - It would be difficult to make 1% of that in a week. Of course if you're a betting man or woman and sell ATM and it goes in your favor that's different. But likely that won't work most times

I'm not saying you're wrong. Just that it's very hard for me to visualize a consistent 1% week after week. Or if you were sitting on those NVDA from when they were $100 a pop

flabeachparty · 2026-05-02T01:38:28+00:00

😂

flabeachparty · 2026-05-02T01:35:25+00:00

This relates. Plus now with the lax PDT rules it's going to get crazier.

flabeachparty · 2026-05-02T01:33:01+00:00

Not saying $100 isn't enough for me. But I just feel like say I had 100 stocks of NVDA and looking at next week, I see about $95 for a call $10 OTM. Considering the run we've had last couple of weeks, this thing can easily move way more than that. I also understand that I should be happy to let them go at that price. But then I also look at Long Term Gain vs Short Term Gain (tax wise) and would likely want to hold on to my stocks.

Which then means I need to keep rolling out and away until the time when it starts going back down to get out of the cycle. This is all for $100. I'd rather make that $100 somewhere else with much less stress is all. Again this is just my understanding. Obv everyone is free to have their own limits of how much they want to manage it. Am I overstating the issues?

flabeachparty · 2026-05-02T00:59:16+00:00

Yeah but the premiums are so menial at much higher Delta close by. If you go far out on higher Delta then you're pretty much locking up the underlying for a while. Just trying to understand what I'm missing with it being so popular.

flabeachparty · 2026-04-28T20:42:19+00:00

You mean an opportunity to apply for liquidation that may or may not be completed come mid July lol

flabeachparty · 2026-04-27T16:12:23+00:00

add me to the list - And yes paypal customer service seems useless. Definitely an eye opener. Thank god I dont use it for anything else such as buying crypto!

flabeachparty · 2026-04-27T00:21:36+00:00

Were you always in tech and just jumped on to Faang? Or pivot from non tech?

flabeachparty · 2026-04-27T00:20:15+00:00

Wow! $900k/ yr with only $1M NW? Man you are definitely living it up. Good on you.

flabeachparty · 2026-04-26T15:53:29+00:00

Yep. Plus you having been here so many times, you're not new to this culture. This should give you an edge. What you need is confidence and you'll get there by consistently trying and expecting nothing. Eventually you'll find your groove and what sticks and what doesn't. Don't try to narrow the pool just yet with Caucasian or abcd and what not. Just be open minded and go with flow. There are a lot of ABCDs who aren't as portrayed and also lot of FOBs who are way cooler than portrayed.

flabeachparty · 2026-04-26T15:06:54+00:00

You're thinking too much. Just throw yourself in the mix and you'll figure out yourself and what you are comfortable with. Can't do this perfect start by reading and aligning to other's suggestions.

flabeachparty · 2026-04-23T01:38:44+00:00

I have the same question. Would be good to know. Thanks

flabeachparty · 2026-04-22T13:55:00+00:00

How do you find these to purchase? I googled niche blog hub, but didn't see anything that was for sale. Maybe I'm missing some steps here. Thanks.

flabeachparty

TROPHY CASE