Markets are rife with things everyone “knows,” but aren’t really true.
For example, everyone “knows” that put options go up when prices go down. But, like anything in markets, there’s much more to it than that.
Most new traders assume all options are priced correctly because they assume they’re direct derivatives of the stock. But really, options are commonly overpriced. If you don’t understand how or when that happens, it’s easy to lose money even if you buy a put option and the asset’s price falls.
Here’s why I’m telling you this…
The reality of the bear market is beginning to sink in for many investors who got their start during the great bull market of the 2010s.
After over a decade of being trained to buy every dip, no matter how severe, that’s no longer an easy way to make money.
The rare few that aren’t giving up now realize you have to trade if you want to make money in bear markets. Buying trendy tech companies, IPOs, or cryptocurrencies — God forbid — just isn’t going to cut it.
I saw this coming, and I started preparing for it all the way back in 2020, when I released my greatest trading strategy to the public for the very first time. Today, in the face of what will likely be the most painful bear market of your investing career, its importance comes full circle.
Today’s True Options Masters is going to be a bit different from what you’re used to.
I’ll take my professor tie off for a second and meet you where you are.
I’ll share my thoughts on a massive change in our business and how it benefits you.
And most importantly, I’ll show you that making money IS possible right now, even with a dead-simple trading strategy.
The Biggest Change of 2022
About halfway through this year, I got an email I’ve been waiting for since I began publishing my ideas to a small group of readers nearly a decade ago.
It said that I could now start putting my money where my mouth is and actively trade my recommendations.
This was huge news. For many years, the financial newsletter business received criticism from readers who understood we weren’t allowed to invest in what we recommend. People construed this to believe that if we couldn’t eat our cooking, we weren’t serving the best meals.
I thought that was a fair criticism, and so I took great lengths to ensure that my subscribers knew I believed in what I was doing.
With the help of a neutral third party in our company’s customer service team, I funded a brokerage account with my own money that would make the trades I recommended on my behalf. All profits went to charity.
Today, the profits still go to charity. But with the rule change, I’m able to make the trades myself, and I’ve expanded this practice to all of my research services. I place trades in my personal account after the trade alert is officially received. And we have policies in place to ensure they get the first chance to trade.
I do this now, and found a way to even before the rule change, because I believe in my strategies.
That’s important at times like this. Because as I’ve been saying we may be in for a much longer, much more painful bear market than many expect.
You Shouldn’t Want a New Bull Market
Right now, we’re facing potentially years, even decades of tough times as an investor. That is, if you continue to invest your money the same way you have for the entire bull market.
Here’s the biggest secret you won’t hear from anyone but me right now… If you really want to make money — not just money, but lasting wealth — you shouldn’t want the bull market to return.
You should want this bear to stretch on for as long as possible.
Fortunes are made in bear markets. Think Michael Burry shorting the housing market… or Bill Ackman seeing the COVID pandemic coming… or even John Templeton, who bought 100 shares of every company trading for under $1 during the Great Depression.
All these investors became wealthy by not running scared of a bear market or monetary crisis, but by leaning in and exploiting the volatility.
Tonight, at the Bear Market Summit, I’ll show you how my subscribers and I earned big profits this year doing the exact same thing.
By making just one trade a week, and quickly closing that trade for large profits or small losses, my system proves it’s possible to buck the trend and make money no matter what the market does.
My subscribers and I are up 78% this year using this system, while the stock market is down 20%. That confirms to me the system works exactly the way I want it to.
That’s why I’m going live tonight to fully unveil the latest iteration of my one-ticker trading system and inviting you to come see how it works.
You owe it to yourself to be there. Click here to make sure you are.
Michael Carr, CMT, CFTe
Editor, True Options Masters