Options trading is a very tough business. It’s even tougher because it’s so solitary – you trade in a room at a desk all alone. To be sure, the Internet has made it much easier for us to connect with like-minded traders in an options trading chat room. Those connections may lead to valuable, long-lasting friendships – and perhaps even help us out of the occasional jam.
The trick is finding the right community to join. You want to look for:
- Great education
- Camaraderie and support
- A welcoming environment where no question is dumb and everyone is welcome
- Valuable trading tips
- Frequent trading ideas derived from data, like option flow and charts
- Members of various skill levels
- Results!
Of course, results are what matter most to any trader. I’m proud to say that our options trading chat room delivers on all of the above points – but especially on results. Here’s a look at two recent winners:
Virgin America Delivers A 400% Winner
On April 1, we noticed some strong price action and positioning in Virgin America (VA). Earlier that week, we’d heard some chatter that the company was putting itself up for sale. While it moved up the prior week, there was some serious action in option flow and stock volume. We recognized that there could be good upside. Excerpts from the day’s chat below:
aztecs99 [10:32:35] : filled a few more VA calls at 4.90
aztecs99 [10:25:10] : i’m adding some VA may 40 calls
ajay [15:49:02] : Bob . you saw VA .. way early in the day too
ericm [15:44:48] : ‘Bankers say VA sale could come as early as Monday’
On April 4, a deal was announced. Alaska Airlines (ALK) will buy VA for 57 per share in cash. The options we bought (35’s and 40’s) in the low $4 and $5 range skyrocketed to $18-$20. We banked a nearly 400% gainer overnight!
Nivedan [06:23:43] : So AA is buying VA for $57 a share.
aztecs99 [06:28:50] : ALK is buying them
aztecs99 [06:39:18] : i’m in the 35’s at 5 bucks…so, if this opens around 53 these calls will be worth 18
CPGCle [07:29:47] : I am in the VA Bob – Thank you!
ketaanhshah2 [07:30:02] : I remember u had added VA just Thursday or Friday
ketaanhshah2 [07:32:10] : those $35s will be rocking solid $20 today 400% winner!
nicotay [08:01:18] : Holy Moly… VA
dattardi [08:01:37] : gr8 call on VA
aztecs99 [08:09:49] : who got the VA? raise your hand
4570gov [08:10:38] : Got it!
Michael R [08:11:49] : i have va
JimSheetz [08:12:45] : May 35’s here
DreamWorks Animation Delivers A 300% Winner
On April 27, we heard chatter that DreamWorks Animation (DWA) was being put up for sale – and that it even had several suitors out there, including Comcast. DWA had good volume and flow, and the price action was solid. From the chat room that day:
Tim [06:30:12] : comcast buying dreamworks?
aztecs99 [09:58:18] : ADDING DWA MAY 31 CALL AT 2.2-2.6
aztecs99 [10:09:52] : added more DWA
aztecs99 [13:37:43] : added a few more DWA jun 32 calls at 2.17
aztecs99 [15:55:01] : dwa
aztecs99 [15:55:16] : katztenberg will leave if the deal is done with cmcsa
The next day, it was announced that Comcast will buy DWA for 40 per share in cash. Once again, our calls were up 300% or more overnight. From the chat room that morning:
optionMike [09:06:04] : DWA halt
suzieQ99 [09:07:14] : DWA Bob thanks for all you’ve done to help me
aztecs99 [09:18:08] : anyone else in this name? DWA?
dattardi [09:18:43] : on dwa bob, ty
Kingpin [09:21:56] : thank you very much for DWA! got few clients in common
CPGCle [09:22:36] : Yes Bob thanks for the DWA!
markb [09:27:54] : Bob, thanks for DWA.
aztecs99 [09:28:47] : CMCSA announced the acquisition of DreamWorks Animation (NASDAQ: DWA).
The beauty of joining an options trading chat room is that you have help processing the flood of information out there. Volatile markets are challenging to trade. Relying on others will help keep you in the game.
Just remember to take profits when you have them and cut bait on names that are not working. The mantra in our room is “We are in the moving business, not the storage business!”
Want to get in on the action? Take advantage of our once-in-a-lifetime anniversary promo – which ends this weekend! You can try out the chat room for one month for only $69!
