$40 Into $400 Trading Options – How To Make Money On The Stock Market! LIVE TRADING.

What's going on guys, it's Josh here, and today I'm gonna talk about two pretty crazy trades I made this last week and how I turned $40 into 400 on one of them, and also how I turned $40, as you guys are seeing here, into like 200. Today's Friday, the market closed. I might post this afterwards, but I messed up. I could've got like 300 bucks on the contract, that's what it went for, but I'm gonna finally go over the play. I'm giving you guys the ticker, and that's my thank you for you guys subscribing. I will say this though, if you guys want me to keep posting more of these, all I ask, you comment below, like the video, and even share it. You know, if I see that there's a bunch of eyes on this, and that it's actually helping you guys, and you're coming with me with questions, I'm more than happy to share this information. Now, I will start off by saying, I played weeklies on these. One of them I even played a daily. It literally expired in one day. Now, getting into these is very, very difficult. So, before you try it, I know you guys may be thinking, wow, 40 bucks into 400, $40 into two, 300 bucks here. It may seem like it's not that much money. It does add up over time if you mess up on these trades. So, be careful. Always, always, always start paper trading. I saw a cool comment on a YouTube video. Someone was like, okay, well, I don't wanna paper trade. You know, there's nothing beats getting out there. You need the real experience. Like, you're never gonna learn. It's a whole different environment. But the best way to put paper trading is that it is literally like a driving range for golfing. It's going to the driving range. That's the closest you're gonna get. It is different than the game, but that's the closest you're gonna get to actually hitting the ball and getting a feel for it. So, please, please, please, I hope you guys take my advice with that and be smart about this and get a hang of this, because what I am gonna share with you is I'm not gonna give away my edge too much, because what I'm gonna tell, these are hard, and there was a different reason behind these trades than just straight up, okay, I found these and I did it. So, we'll start here. First trade I made was Regeneron. I bought it yesterday, sold out today. You see, and that wasn't a day trade, even though it was technically one day. It wasn't same day. And from that, if you have a pattern day, you know, it doesn't fall under the pattern day trading. Now, why I did this trade, it was a hedge for the general market. I had some puts on something else, and just the overall market, and, you know, I got the sell out of those. I was waiting to see the effect on the Chinese market, or the Chinese tariffs, and that is one thing I will tell you. That is something I'm looking for coming into Monday and the future, so keep your eye out on that. Now, what happened with this trade is why did I select Regeneron? There's a couple reasons. One, on the base reason, it's a, it doesn't move, it moves a lot, it's a low float, it's known for these big, crazy moves, and here's even, I have the IBB up, I'll pull it up, but during this whole downtrend, this last week or so, last two weeks, since kind of the 28th, biotechs have started to have been picking up the pace, whereas the market was kind of coming down. There's been a lot of news in the biotech industry, and some of these companies have been making moves and have been detached from the whole S&P, so that's why I kind of used it as a hedge. It had a great day today. Now, even going to Regeneron, when you even see Regen, it really hasn't been phased by the day before. It's been going straight up, so think about why I look towards this. The whole market was going down. I saw it as a good play. Now, I don't, and think about it, I bought it here. I didn't want it to, you know, buy too high, but my play was this, hey, market goes down, I'm protected with other puts, and if it goes up, it's probably gonna go and try to break out to some other point. Now, that's not even technical. I don't even care about the technical. Really, when I bought the stock, I don't know, I think I bought it, I think I bought it end of the day yesterday, or I think I bought it around 360, you know, so in my mind, I was saying, hey, Regen to move $7 in one day, when it's already, you know, it'll move $10 in one day easily, it didn't move that much. I saw it at a good price, so the strike price I got, I didn't go too far out of the money. I think I went like one space out of the money, but why I got it, because it was saying, hey, $7, even though I only had one day of time, which was the kicker, and my logic behind this was I was gonna lose, I didn't care, so it was a good trade in the sense that it was cheap enough where I could have taken that risk, and it was very likely for Regen to move, in this case, you know, $8 in one day. I think I needed it to move about seven or six, which is just under 2%, which is a decent amount, so it all depends, and oh, wait, is my, I think I have a webinar here at 5.30, and that's something, too, if you guys ever wanna join, I need to make this text real quick, but if you guys ever wanna join the webinar, we're having them every now and then for real estate, usually on Fridays, but let me know, or just go to ttfrealestate.com and below, and you guys can see what we're doing with that, but back to the main topic of this, so like I was saying, I got it for that reason, and now also, two days before, what made Regen a good play and what kind of, you know, gave this whole thing going on here, let's, if we look back at the one month, what's been making it go straight up, I believe on the second, so around here, and you can see they're moving up days before, they actually announced that they were gonna increase the price of one of their most infamous drugs, as well as another company, Sanofi, and it was an eczema drug, and they're gonna raise the price, so again, you see my trades come, they fall in line with another fundamental aspect, so that's why I made the play, this is the play I made on it, that's the logic for the most part, again, paper trade and see what's going on with there, now, the next trade I made was on the SPX, and now this one, you guys are gonna get more of an insight, I actually bought this one on the day before, and they expired on the third, so SPX has plays that expire every about three days, or every two days, some even expired in the day, now you could see kind of what I did, I spent $80 total, I lost 45 on the first trade, as you see, it expired, but now, what happened here, why did I make this trade, because I was looking, I got the 267 put, and the 2715, so on the third, or the second, I saying, hey, if tomorrow, I was expecting the market to come down, which it did, coming into the day before 4th of July, and we saw the movements again, I was looking at the Chinese stuff, the tariffs coming in, and just overall emerging markets, and what was going on, if you guys want a video about that, and seeing how I'm kind of getting ahead of these moves, definitely comment below, and let me know, and we could go in depth, but it's kind of boring, but as you see, it could profit you. Now, what happened with this one, is coming in, why did I make this first trade, I spent more money, because the contract had more time, and it was a little bit further out, it was about maybe 50 points out of the money, and what I had said with my logic behind it was, hey, I wanted to set a place marker, this is me scaling in, so as you guys see, I threw down $40, if I was right, and it dropped the next day, boom, I was gonna make money, but that didn't happen, if we go to even the SPX, and see what went down, let's see, here's the SPX, it'll go on this week, so maybe I should pull up a 10 minute chart, so here was the third, which one was it, 29, third, so this was the fifth, I don't know which day, actually, so today's the sixth, starting the sixth, starting the fifth, starting the third, so again, and this is where I made the play on it, because I bought here the day before, it was coming down, and I said, okay, 40 bucks, it came up, I said, if the market goes down, and goes down to 26.50, which is very, very low, 26.70, still possible, but again, the market was there pretty much the day before, I said, if it goes back to that point, I'll make money off the $40, it didn't, market went up, and it bounced up in the morning with this gap up, killed all the premium, but then I saw that as my opportunity in the first couple minutes of the market, or the first 30 minutes, first hour or so, I was waiting, I let the time premium wear off, and those contracts got extremely cheap, and now, when those contracts got cheap, it made these two 7.15s come to 20 bucks a pop, and then when I go to look at them, it's literally, it was saying, you know, the market was at 30, it had to just drop down 15 points, and eventually, it dropped down almost 20 points, which was, again, that we're talking not even half a percent movement on the market, I just got those contracts really cheap, because it gapped down, or gapped up one day of time, and it was a fairly large move, and again, the market was kinda up and stagnant, but I saw the weakness, that news on China came out with Micron, and the ban on Chinese, you know, China was banning certain products, so I was able to make my move and make my play, and looking at this, putting it in together, that's why the contracts were so cheap, I now used, and I used my day before, I used this as a place marker to gauge how cheap those contracts were, so yeah, I lost 40 bucks, but now I was able to see, hey, if I spent 40 bucks yesterday for a one percent move, now I could get a quarter percent move for half the price, I bought two contracts, and sure enough, well, they went down, I sold one for 274, and then the other one, I actually let this one, I held it, and I actually didn't realize the market closed early that day, and it closed early, I got exercised, and it settled as cash because it was option, but I cashed out, and that's how I was able to go, pretty much, you know, comes out to, what, 399, actually $400 flat, and that's even after the commission, so, and then I lost here, so I pretty much came away with 350, and it wasn't too bad off a $40 investment, and that's after minusing my first place marker too, so even then, it's a decent trade, I honestly didn't like it, I thought I could've done a little bit better, I should've went a little bit heavier on it, but not really, just because the chance of it expiring in one day, and that's the thing, you guys see the money, you see what's being made, hopefully you understand, this is a pure gamble, I'm a professional gambler at this point, you know, that is a gamble, you gotta know how to hedge it, and understand how much money I put, you know, making sure the risk-reward and options are in my favor, and it was for that reason, you know, at one point, I went $5 in the money almost, and I didn't sell out the contract fast enough, that's why I only walked away with 280 on the close, at one point, I could've got a lot more, but that is the gamble, and you guys even saw that with my Regeneron play, I told you the stock was at, you know, one of the last trades was at 300, I sold it for 225, I could've made another 100 bucks, and you know, that's a great percentage gain, but here's the thing, and you know, I know Daniel, shout out D Mendoza, you know, he asked this on the question, you know, what do I do, I'm going for these home runs, don't, when you see the gain, you know, if you have more than one contract like I did with the SPX, you know, maybe you could do that, but in this case, you know, there was, it just didn't make sense, you know, I had the profit, the minute I started seeing it slip away because of implied volatility, and it was just a very, it's a very volatile play, I took my profit when I can, and then I let the other one ride, sure, I'll let the other one ride, I could've made an extra 100 bucks, I don't care, I already secured 20 bucks to 280, I was happy, that's when you go for the home run, hopefully you guys understand that, but on Regen, I only had one of those contracts, I saw a gain on it, I saw a great gain, I took it, I don't care if I leave 100, 200, 300, 400, 1,000 bucks on the table, who gives a ----, at least I'm not losing money, and that is the key with these plays, if you wanna try to play these plays again, that's why I say paper trade, paper trade, paper trade, paper trade, but then if you guys want to make these types of plays, you gotta be quick, whenever you see green, take it, and it's not, you know, and again, if I'm not taking, obviously, if I'm spending 20 bucks, and my commissions are $10 to get out, I'm not going for a 50% gain, so hopefully that makes sense, but it's small risk, high reward, and that is the key to it, so hopefully this guys helps you, and honestly, I'm willing to give away this play and let you guys know, because if you guys aren't doing this without the right training, you guys aren't paper trading, and you aren't honing your skills, it's gonna hurt you more than it's gonna help you, so you will destroy yourself if you do not practice, so don't let the greed get to you, and practice, and reach out to me if you guys want help, I'm always willing to help, again, too, if you guys are part, you know, get into real estate, join my real estate brokerage, I'll gladly help you out and give you trades all day if I know that you have a consistent source of income coming through real estate, there's my shameless plug, so, but at the end of the day, I hope you guys like this, hopefully it helped, again, if you guys want more of these videos, help these videos get up there, comment, share it on your Twitter, share it on your Instagram, Facebook, everywhere, and spread the word, and I'll gladly share these with everybody, so hopefully you guys understand the power of options, hopefully this helps you out, I love you all, and stay in school, let me know what you guys got for me.