Biggest challenge: Determining when to get in and at what price. I consistently end up with options that hit the strike price a month or more after buying (whether singles or spreads), but the current price is below my purchase price. Very frustrating to be correct about direction, but still lose money.
I see it more than that. A lot more. You need:
- Exact rules for selecting your tracking portfolio.
- Exact rules for entering your trades at the right time.
- Exact rules for exiting your trades with a loss.
- Exact rules for exiting your trades with a profit.
- Exact rules for how much money to bet on each trade.
That’s a system. That’s what you need.