Welp, today is the day I actually my my first option trade.
I did this while at the gym and used think or swim on my phone, mind you I never used it before and honestly looks more confusing than e-trade.
E-trade gave me way too many issues…
The play made was for SMH strike price $265 for March 21, 2025
Paid $18.53 so total of 1,853.66
I’m going to be honest, I have no idea what I did…I just saw a play in a community I am in and took it.
Quadruple witching took place on September 20th, 2024 and we are currently 6 days into it.
I placed the trade cause I wanted to experience what it is like.
I only bought 1 contact which equates to 100 exercised positions (I believe i said that right?)
One contact is fine with me, although I have $5,000 in my account to play with, I do not want to blow it.
There is a plan behind this account, it is to simply grow it and understand the game of option trading.
If you’ve been following my blogs you know by now that I enjoy the long-term hold and buy.
I can hold a stock for years and not really care to sell it even if it is high, that could be a flaw and maybe I should sell some profits to re-invest.
Yet, my goal is not to touch it. The only stock I sold was AMD so I can use some of the profits to fund my option trading account.
I’ll do a follow up post if the contact is a loss or a profit, I really do not like taking people word on where to invest my money, but I am making an exception this one time so i can get my feet wet.
It’s never going to be a better time, until now.
Lose of win, I will experience the lesson and that is really all that matters.