Hey Tiago,

It is refreshing to see someone in the community openly discussing about where they have gone wrong and the lessons they have learned in the process. This is a rarity. And it is especially true with options trading. We hear so many success stories about how someone got paid XYZ in premium, how this is easy money etc. but not a single word on goof ups.

W.r.t advice for you on this specific situation: I really do not have anything specific. Like you said, this seemed like just a case of being blinded by the premium, and that is maybe the #1 thing to watch out while writing option contracts.



Expand full comment


You're absolutely right, there is indeed a lack of failures in social media, which is quite unfortunate since i find that failures are often the most interesting parts of investing!

At the end of the day this failure was predictable and avoidable had I just paid more attention and had stuck with the plan... Which is exactly what got me in trouble before in my previous failures!

Hopefully this time is the charm, and I won't have to write another one of these! :)

That said, it's important to note that, at least to me, making or losing money doesn't constitute a failure.

At the end of the day if I research a company, or try to do some arbitrage (like the ATVI-MSFT merger), and end up losing money on the investment, I don't consider it a failure.

What makes it a failure is if i didn't do my research properly and got caught off guard by something, and that applies to whether I made money or not.

For example I purchased (and still own) a substantial amount of CSPX, it's currently my top performer yet I still consider it a (minor) mistake.

At the same time I'm down 40% on $INTC and I remain confident that my thesis will play out, and the company will be a wise investment.

Best regards,


Expand full comment