Performance and Trade Results
Since I launched the course in March 2017, we're up $17,826!
That's 35.65% for a $50,000 account trading this strategy!
During the latest period, overbought conditions didn't seem to matter as tax reform dominated the market action and stocks continued going up. The market model predicted a bullish move through the first half of the month pretty well, but you'll notice it ended up near the lower end of the neutral range going into the start of 2018. This is because the market model expects some consolidation after such a large move under normal market conditions. However, due to the impact on earnings from tax reform, we are not in anything close to "normal" market conditions. This is why it's useful to combine analysis with the market model, and make small adjustments to the trading strategy when there is something big and obvious happening, like tax reform, in this case. The mistake I made here was not being bullish enough going into the start of 2018.
For the December Period (Dec 1 - Jan 4) we brought in $1,450 (2.9%)!
The average monthly return is: 3.75% = 35.65% / 9.5 months
$50,000 compounded at 35% a year grows to $1 Million in just 10 years!
Warren Buffet returned an average of only 20.8% per year. That's the power of compound interest over a long period of time!
Who is this course for?
This course is for anyone looking to supplement their income, work less, or get rid of their job entirely. This system is THE BEST way to achieve an income from the stock market, as safely and reliably as it is possible to do so, with only 1-3 trades per month and no need to spend time researching hundreds of companies. This course is just as much about theory and strategy as it is about making real money in the real world. This is part course, part boot camp, where we'll be learning from the markets as we go, analyzing new situations in a world that is constantly changing. Even though this system is highly profitable and reliable, it does require you to keep one eye on the markets at all times.
Since we're dealing with options, it would be useful to have some trading experience with stocks and options already under your belt. Beginners are welcome of course, but the course is designed for intermediate level traders. You should have access to a computer during the day so that you can place orders while the market is open.
The goal of this strategy is to collect at least 3% per month, which is about $1500 per month for a $50k account or about $3,000 a month for a $100k account. All of our trades will be focused on the S&P 500. The core of this strategy is built around income generation and favors options premium selling, so that is what we'll be focused on most of the time. When the market is bullish or bearish we'll also use options in a directional trade as well.
How to hedge for FREE
Normally when you put a hedge in place, you expect it to lose value over time. If you follow my strategy, you'll learn how to collect income every month while being hedged, essentially for free. This doesn't mean having a losing month is impossible, but in most situations where the market goes the wrong way you should end up breaking even or showing a profit. Then you can go on collecting income every month as if nothing ever happened!
More complex does not equal more profitable
Don't be fooled into thinking that complex strategies are the secret to better returns. More complex options strategies always have a downside. What we really want from a trading system is a better way to tell MARKET DIRECTION. We may not be able to predict what the market will do day to day, but we don't need to be that precise to make money in the market. All we need to do is be able to put the market on a more accurate "range" of future outcomes.
A quantitative market model
Successful options traders know that one of the most important factors when selecting a strategy is market direction. For me, I've found that I trade much more successfully when I use a quant approach to trading. Rather than just relying on my own analysis alone, I've found that when I combine my analysis with a statistical model I make better trading decisions and the trades I make are much more profitable. The quantitative market model I built provides an objective view of how bullish or bearish the market is for the time frame we care about, which is the 2 to 4 week time frame. The model is composed of 12 patterns I've found to be the most influential in determining short term market direction. Some components are commonplace and widely used by other traders. For example, one of the components uses the RSI for assessing overbought or oversold conditions. Other components are based on proprietary patterns I've noticed in my own trading over the years. These 12 components are then averaged together, along with the appropriate weights and correction factors, to give us an easy to understand market score for how bullish or bearish the model is at any point in time.
A vigilant partner
When you join this course you're gaining a full time partner, a trading veteran dedicated to maximizing your gains and minimizing your risks in a market that's constantly changing. I watch the markets all day- every day. It's a full time job for me. Most people are busy and don't have time to follow every twist and turn of the market, but don't worry- you'll get an email alert for every trade I place. Often we'll be in winning situations, which are easy to manage, but navigating the tricky situations properly and avoiding rookie mistakes can have a huge impact on your long term profitability.
This system, like most trading systems, should not be applied mechanically to all situations. Every situation in the market is a little bit different and requires some strategy and analysis. That's why I've structured this course as a monthly membership service. All members will get access to the exact trades I'm placing in my own accounts along with an understanding of how that strategy fits into the current market outlook.
You'll also get access to my propriety market model which gives us a much clearer picture of where the market is headed in the short term. Setting up the course this way allows me to protect the intellectual property behind my market model, while still allowing you to take advantage of it. In other words, you'll have access to my market model score but not it's underlying components.
There are four things you'll get as a member:
1. Access to the course where I show you how I implement the top income generating strategies.
2. Access to my market model, which makes these strategies dramatically more powerful.
3. Access to all of my trades so you can trade along with me as I navigate the market.
4. All members who stay for 6 months or more will be able to enroll in my companion course "The Big Volatility Short" for free.
Is it worth paying $75 a month for this? Well, the goal is to make a steady income of at least 3% every month. If you're trading with $50,000 for example, that means you'll collect $1500 for the month and pay a $75 membership fee, which leaves you with a profit of $1425. Is that worthwhile? I think the answer is an obvious YES!
Even without my market model, the strategies you'll be learning are iron clad ways of generating income- so no matter what, you'll be gaining experience you can use to make money from the stock market for the rest of your life.
Most of the time we will be positioned for bullish or neutral markets, but when the market model indicates a sell-off or bear market is likely, we can either exit all of our positions, or use a put buying strategy, depending on the situation. If bear market risk is rising, it will show up in a number of factors in the market model, warning us days or even weeks in advance. In other words, we should be able to generate an income no matter which direction the market goes! However, there can be events that are completely unpredictable that can cause the market to drop rapidly, sometimes overnight, such as another 9/11 attack or some other kind of black swan event. Our goal is to keep the maximum risk in the core strategy at no more than 25%, but remember that it would take a truly extreme event for that large of a loss to be realized. If something like this does happen, I will show you a strategy you can use to make this a "temporary loss" when we discuss how to hedge for free.
Hey guys! I've been trading stocks and options for over 11 years through bull markets, bear markets, and all kinds of volatility. I started out doing a lot of day trading and stock picking and I was looking for a more steady income stream to go along with these trades. The system I came up with was so successful that it's become the focal point of my trading, where I now allocate my largest positions. After you've collected 3% per month for a few months in a row, I think you'll agree with me that this system is simply THE BEST income strategy out there. It doesn't require a huge number of trades and it's a lot easier to manage than day trading or stock picking. Honestly, I think it's pretty hard to lose money with this strategy. Thanks for checking out the site and I'll do my best to make money for all of us!