Location: All meetings, unless otherwise noted, are held at the Elks Lodge, 375 N Pastoria, Sunnyvale, CA (http://tinyurl.com/ElksLodgeSunnyvale)
How to Lose Money Trading Options (and ways to avoid doing that)
Back by popular demand: A reprise of Options 201 - Beyond the Basics, Part 1 from June, 2015!
Have you ever bought an option, had the underlying stock move in your expected direction, but STILL lost money? We will talk about the option "greeks" and how they can cause you to lose (or make) money and things that you can do to minimize the "losing" effects. You will learn how to size your position properly, often called the real "Holy Grail" of trading. One of the best ways to trade options is by using option 'spreads'. During the second half of the evening, we will talk about the most versatile of the option spreads - the vertical spread. You will learn four advantages that verticals have over single options and five ways that vertical spreads are used in trading.
Rob Schmidt, SVOG President
Originally from Lafayette, CA, Rob graduated from UC Berkeley Class of ’78 with a BS double major in Electrical Engineering & Computer Science and Materials Science Engineering. Rob worked two years in the semiconductor industry at Fairchild and 21 years at Lockheed Martin, formerly Lockheed Missiles and Space Company, where he spent 14 years in test equipment design and another seven years training other engineers about the Trident missile and its subsystems. Rob has used his experience as a trainer to teach other stock and option traders and frequently was a keynote speaker both before and after he helped co-found SVOG as a non-profit organization in 2008. Rob started trading in 2004 as an Investools student, but since then has studied under Rance Masheck, Charles Cottle, Dan Sheridan, David Elliott, John Person, Bill Poulos, Jake Bernstein, John Carter, Don Kaufman, Shawn Lucas, Nate Allred, Ziad Masri and Awais Bokhari.