Whoa! What tree did this fall off of? $AAPL out of the money — 3/21/2024

They say buying options is a “fool’s game” and day trading options is impossible. So let’s say right off — they are wrong about that.

THE SIMPLE DAY-TRADING OPTIONS STRATEGY

TRADES are based on this simple day-trading strategy to be on the long side of the calls and puts for day trades; and referenced in this story — I told a guy how to make 100% day trading options and I doubt he believes me.

The open signal is clear and truly simple.

If the call options are above their open, buy the calls; if the put options are above their open, buy the puts.

That’s it, but use a stop-loss to control risk.

3/21/2024 — During the day…

Put this weekly AAPL PUT on a watch list Monday when it was in the money and then did not watch it again until an idle glance today caught my eye with the 175 strike up 800%.

Uh, what?

Did not trade it, did not trade it! It’s Cryin’ Time again, done plumb missed it!

But it sure is an entertaining example of the Simple Day-Trading Options Strategy preached here relentlessly.

In the AAPL OTM 175PUT, after the stock gaped down opening at 177 and then kept right on dropping, someone could have made about $8,792 on a $1K trade (see the white flag on the chart’s right axis below).

$8,000!

Someone. Not me, and probably no one else. As as I linked above — Cryin’ Time.

(Click on the chart for a larger view.)