There is a common saying that the retail investors always buy high, sell low. The reason for that is because they trade based on feelings that is greatly influenced by the movement of the stock prices. This can happen to value investor too.
When we have done all our due diligences and we value a company at say 100 per share. Large movement in the price can sway our conviction. When the price keeps rising to 120, 150, 170, FOMO can start to kick in causing us to buy high so that we won't miss the gains. Then what follows is the stock price plunging back down. Or when the price drop to 80, 60, 40, fear starts to creeps in. So instead of buying low, we give up buying completely. Then the price fly to the moon.
It is understandable why this happens because it is hard to sit on the sideline waiting while everyone seems to be in on the action, flaunting their paper gains. Your backside gets itchy. That is why I use options to execute my long term investment strategy so that I always get a piece of the action while staying disciplined and not break away from my trading plan.
Most people might see it as a WHEEL options strategy but I added an upper and lower limit to it and make it what I called a "VALUE WHEEL" options strategy. Or in another words, do not WHEEL an overvalued company.
So how it works? I will use $UP Fintech (TIGR.US)$ as an example. So when China begins cracking down on Chinese stock, I started to see opportunities in China stock. Thus I began analysing them. I love it when there is a crash, just like the covid crash, because that is when prices usually falls way below the company's fair value after accounting for the risks. Online brokerage stocks like $Futu Holdings Ltd (FUTU.US)$ and Tiger got into my radar. I started building valuation model for the company (assuming China market is completely banned, estimating future growth in customers, sales and margin, etc etc). I came out with a fair value of 5 for Tiger with a exit price of 10 (in the short term) and 20 (in the longer term). with these prices in mind, I can easily use options to execute my plan.
So I will buy when price is 5 in the short term, and the upper limit of my buy price is 7.5 (below 10). Even if the price rocket to 20 or 30 in the short term, I will ignore it and always buy at max 7.5. I will always sell when price hits 10 in the short term, and ignore any rallies. the rule is DO NOT DEVIATE unless there is some fundamental shift in the business.
Instead of buying and selling normally, I will use options to execute the trades. It is very similar to the WHEEL strategy but the difference between this "VALUE WHEEL" and the typical WHEEL is just having this value investing principle of upper and lower limit taking precedence over ROI on capital. Selling options at the set target price could yield very little premium but it doesn't matter as the value investing principle takes precedence over income generation.
So with that in mind, I started selling PUT options with a strike price of 5. This way I can earn premium regardless if the price drop below 5, plus I "locked in" my trade. So in October, I started selling PUT options. The first PUT expired worthless because the price of the stock was >5 but I collected usd18 per contract (I couldn't add the older PUT into this comment not sure why). After that contract expired, I sold more PUT and collected USD107 in total premium in November.
On the day when this contract was going to expire, some FUD was released in the news (Reuters and CNA) causing a panic sell of both Tiger and Futu stock. Futu and Tiger drop about 15%. Tiger dropped to about 4 and I was so happy as I could finally buy the shares The stock price recovered though after they release a statement saying the news was fake.
Tiger ended the day at 4.95. So I was assigned and I fork out 2,000 to buy 400 shares of Tiger.
So without using a PUT options, I would have placed a LIMIT order for 400 stocks at 5 anyway, so this is just a way for me to earn extra income (even when I don't get to buy the stock) for doing almost essentially the same thing.
So after I gotten the stocks, I started selling covered call options to get more premium, and "forced" myself to sell when the price hit 10. This way I won't be greedy when there is a rally. That is one of the most common complains I see in the comment section where people got greedy and did not take profit. In the end they saw their 600% gain dropped into the negative.
Since I also have a longer term target of 20, I will change the call strike price to 20 when the criteria is met. otherwise, I'm sticking to 10. I'm intending to sell more PUT with a strike of 2.5 too. since 2.5 is below my fair value of 5.
Using this VALUE WHEEL strategy, I can have some "action" by selling PUT and CALL option every month, so that kills boredom of the typical value investing of buy and hold. Plus it forces me to be discipline and give me extra income for being discipline.
Some of you might be wondering what if I'm wrong? Or what if unexpected things happen and the valuation goes haywire? It's either I take a hit or I'll use other tactics to try and recover from the trade. one of such tactics is known as rolling which is explained in this post: https://www.moomoo.com/community/feed/107452442279942?data_ticket=5b3500b278c1b7aa4a176e85285988a1
Hope this sharing could help you in your trades $Grab Holdings (GRAB.US)$ $DiDi Global (Delisted) (DIDI.US)$ $AT&T (T.US)$ $Palantir (PLTR.US)$ $Discovery-A (DISCA.US)$ $AT&T (T.US)$ $Realty Income (O.US)$ $Berkshire Hathaway-A (BRK.A.US)$ $Berkshire Hathaway-B (BRK.B.US)$

$AMC Entertainment (AMC.US)$
Gonna Rock today AMC

$Polygon (MATIC.CC)$
I’ve been in Polygon for over a year now and have made INSANE PROFITS!!
As with”Any Investment”, you ALWAYS get your initial Capital out ASAP along with Profit and then just let the remaining (Now All COMPLETELY Free Tokens) chill!
Always sell some at Highs and Rebuy back at Lows!
Who cares about paying Taxes??
So many people are missing out on making so much money because they don’t Sell “some” at Highs because they’re afraid of paying Taxes!!!!! 🤦🤦🤦
Trust me ….. even after paying the 25-30% or so in Taxes, you will still make A LOT MORE money!!
I’m sure everyone has their tokens in many different exchanges (along with many in different Wallets)!
We’re ALL earning a lot of Income/Interest and making Passive Income by:
- Staking in LQ Pools/Farms (Some have APY’s up to 40%-100%) So, like Interest in a banking acct but with 5,000% or more Interest than you could ever make from a bank
- We’re Involved in Crypto Lending earning even more Income
- Free Airdrops
- Have some tokens in Trading Bots doing all of our trading without us even thinking about it
- We use our Crypto as “Collateral” so we can borrow other Crypto or even money without touching/selling our personal tokens
- We have some tokens trading Derivatives/Futures or Options making INSANE AMOUNTS of Profit
- We also have tokens that let “AI” rebalance them for Tax purposes
- The list goes on and on and on!
So, if you have Polygon (or Any Crypto), I’m sure you have your tokens on many different exchanges collecting Income in many different ways!
You also have your tokens in different “personal” Wallets (Online, Cold, Hot, etc etc)
You NEVER EVER buy Crypto on brokers like Robinhood, Webull or anywhere else where you DO NOT ACTUALLY OWN your Crypto!
Since you don’t own them, you CAN NOT move them at all! Since you can’t move them, your NOT making ANY ADDITIONAL Income AT ALL!!
Why would anyone buy Crypto on places where you DONT OWN THEM??? Makes NO SENSE WHATSOEVER!! Freaking Retarded!!

$UP Fintech (TIGR.US)$ There are many things you don't know 😄

I’m a long term investor so these are just some of the lessons I’ve learnt from my limited experience with day trading. I will also give a brief overview of the VWAP indicator which is often used by day traders.
Lessons Learnt
1) Trade when the mind is clear and alert
Do not trade when you’re feeling sleepy, tired, unwell or troubled. This is especially true when trading in a foreign market with time zone differences. Day trading requires snap decisions and you can’t make those decisions if you are feeling poorly.
2) Play small
Limit the amount invested to a small percentage of your capital so it wouldn’t hurt if it is lost entirely. This is important as there is no such thing as a hundred percent success rate.
3) Plan your entry and exit
Set target profit and stop loss when entering a trade. This helps you to know when to exit. Do not hesitate or second guess yourself. Capital preservation is important.
4) A good knowledge of technical indicators is required
This enables one to spot and interpret the signals. Using a number of technical indicators helps to confirm the signal and improve the probability of wins.
VWAP Indicator
VWAP stands for volume-weighted average price. It is basically the average trading price of a stock after taking into account the volume. The formula is VWAP = number of shares x typical price divided by the total number of shares. Since VWAP is calculated from previous prices, there will be a lag which becomes bigger throughout the day. VWAP is reset each day.
How to view VWAP in Moomoo:
In Detailed Quotes, click on Chart Settings > Indicators > VWAP.
Make sure VWAP is checked. You can modify the colour if you wish.
Once this is done, return to the chart. You can click VWAP at the bottom of the chart (portrait mode) or on the right hand side of the chart (landscape mode). In the pictures below, VWAP is the yellow line.
How To Use VWAP Indicator
A rising VWAP shows that buyers have more control, a declining VWAP shows that sellers have more control and a flat VWAP means the stock is trading within a range. When the price is above VWAP, it is in the overbought zone and when the price is below VWAP, it is in the oversold zone.
VWAP can be used to establish support and resistance price levels. In general, traders try to trade close to VWAP in anticipation of a bounce off (long) or a decline (short). Institutional investors use VWAP as a benchmark when planning their entries and exits to minimise their effect on the market price. So do companies when they do share buybacks e.g. $Apple (AAPL.US)$ .
It is a good idea to use VWAP in conjunction with other technical indicators such as MACD, RSI and Stochastic to confirm the signal before executing a trade. Use a paper account to practise and test out your strategies before risking any real money.
$Tesla (TSLA.US)$  $Lucid Group (LCID.US)$ $Rivian Automotive (RIVN.US)$  $SNDL Inc (SNDL.US)$ $Marin Software (MRIN.US)$   $ContextLogic (WISH.US)$ $Astra Space (ASTR.US)$   $American Airlines (AAL.US)$  $Netflix (NFLX.US)$   $NVIDIA (NVDA.US)$  $Pfizer (PFE.US)$  $Moderna (MRNA.US)$ $Alibaba (BABA.US)$   $SPDR S&P 500 ETF (SPY.US)$  $Digital World Acquisition Corp (DWAC.US)$   $Phunware (PHUN.US)$  $AMC Entertainment (AMC.US)$  $GameStop (GME.US)$  $Sea (SE.US)$
Disclaimer: The above is my personal opinion. It is not financial advice or a recommendation to invest. Please consult a financial advisor before making any investment decision.
Check out Long Term Investment - A Strategy For Growing Returns Without Sleepless Nights https://www.moomoo.com/community/feed/107495017873414?lang_code=2

$UP Fintech (TIGR.US)$ 幸好在恐怖时刻做了头

The electric vehicle startup $Lucid Group (LCID.US)$ , which is accused of being a rival of $Tesla (TSLA.US)$ , has achieved a good stock price, rising by more than 20%, and its market value has risen to 89.87 billion US dollars, surpassing Ford (US: F)'s 79 billion US dollars. , Almost equal to the 90.9 billion US dollars of General Motors (US: GM). Lucid shares closed at 55.52 US dollars, up 23.7%, before the market rose nearly 7.5% to 59.68 US dollars.
$Lucid Group (LCID.US)$ executives expressed optimism about the prospects, emphasizing the increase in bookings for its first model, Lucid Air, and plans to expand the production of its Arizona plant. Lucid pointed out that customer bookings have exceeded 17,000, higher than the 13,000 in the third quarter, and confirmed the production target of 20,000 next year.