Stories and small insights for options newbies

From my initial ignorance until now, I have worked on A-shares, gold, foreign exchange, US stocks, etc., even though I have little capital and no money, I have also accumulated some opinions of my own.

I only learned about options after watching “Big Short” 2 months ago. Two of them made 10 million dollars with 300 knives in the garage. My heart was hot at the time... Immediately after searching for relevant information on Zhihu and**, I felt that the options thing was super rich, just a good tool I had dreamed of with a small amount of money to get rich (like the first time I saw gold, 50 times leverage of 50 US dollars to reach 2,000 US dollars, and then I was so excited to be strong), and the story began.

The first option order, bought JD 317 4 times in 40 lots and 29 calls, made a profit of about 60% in half a month, 120% in 10 days for the second order, and the second single Tesla 120% in 10 days... but the sadness was always behind. I gambled on ZTO and JD's financial reports. The expiration time was short, and I directly spit out the previous profit and lost 20% of the principal, and then relied on Siri and Tesla to start making a profit again

First: When uninsured, options are high-risk, high-risk, high-risk derivatives
Why? If a call on the expiration date is not sold or authorized, it is tantamount to being voided and erased. Since they are naked, they basically won't be able to exercise power, and they don't have that much money at all to exercise power after a heavy position, okay? Under call options, extra-price exercise becomes meaningless, and it becomes a heavy position. The risk is too great. Conversely, the same is true of a call to put options.

1. I'm not going to buy a put, I'll buy a reverse call because the put risk is uncontrollable and the losses are limitless.

2. Control positions, don't reload positions. Once the expiration date approaches, the hope for options is gone, the false value is gone, and the ticket goes away. You'll know this kind of pain?

3. Fictitious options seem cheap, but the actual risk is greater. What is fictitious value? It is the hope of shareholders. When the expiration date approaches, everyone feels that there is little hope, then the false value decreases and disappears, which is equal to 0.
Options with a large real value are also not recommended. Leverage is reduced, and the risk is greater.

My summary is: look at the trend and performance of the main stock, combine the news, and buy a call for a call option or put option with a slight false value of a right with a standard settlement date that is 2 weeks or more away from the expiration date. The position is 1/5. Sell to lock in profits when the next target price is reached, and if you continue to be optimistic about this trend, buy the call for the next target price.

For example, on April 2, the price of A stock was 25 yuan, and the current trend was good to break a new high. Buying ten lots of 26 yuan due on April 21 was 0.8 yuan, and the call price of 800 yuan was 800 yuan. On April 18, the main stock of A reached 29 yuan, 421's 26 yuan call rose to 4.2 yuan, then the profit locked in 4200-800 = 3,400 yuan. Call, the price is 1.2, it costs 1200, and no matter how you smooth it out, it's 1200, and you still earn 2,200!

Options are only high-risk compared to stocks. Basically, the main stock fluctuates a little, and options fluctuate 10 points. (You need to buy an option with good liquidity! Otherwise, the buying and selling price difference is too big.) However, as long as you control your positions, it's actually not very risky.

I'm not going to do insured options yet because of Qiong!

One more point, I'm determined not to be honest right now?