Dan Passarelli – Struck by an Anomaly in Options

Dan Passarelli is an author, trader and former member of the Chicago Board Options Exchange (CBOE) and Chicago Mercantile Exchange (CME) Group.  He also founded Market Taker Mentoring, Inc., a leading options education firm that provides online options education, options newsletters and personalized, one-on-one coaching for options traders.  Dan began teaching both basic and advanced trading concepts to many leading options-based brokerage firms since 2005.  Dan also contributes to financial media such as TheStreet.com, FOX Business News, Bloomberg Television, National Public Radio (NPR), and the CBOE blog. And he has a weekly featured video on CBOETV.  Dan, on a personal note, is also a marathon runner, a musician, and a world traveler. Learn from this trading expert as he shares his valuable experience learning the ins and outs of stock options trading.  Listen also his equally important tips to drive more profits regardless if you’re a newbie or a veteran in this field.     “The more you learn, the more you earn.” - Dan Passarelli   What do you want to hear from the My Worst Investment Ever Podcast? Tell us here! Resources:  My Worst Investment Ever Book myworstinvestmentever.com Dan Passarelli's book: Trading Option Greeks Dan Passarelli's book: The Market Taker's Edge markettaker.com/five Options trading blog Topics Covered: 02:07 – Dan briefly talks about starting his career as an option trader 03:01 – Sharing how he ended up with his worst investment over 03:44 – Explaining what volatility means in the stock market and how it works 09:20 – Lessons he learned from his loss in stock option trading 10:53 – Andrew stresses the importance of understanding the concept of anomalies 11:27 – Stressing the value of long-term experience and relating to Andrew’s experience as a broker 14:08 – Advice to listeners to avoid his mistakes 15:00 – Invitation to visit markettaker.com/five that will give listeners a free checklist on five strategies for trading volatile markets 16:19 – Parting words from Dan: “The more you learn, the more you earn.” Main Takeaways: Lesson 1: “I learned a whole lot about how volatility and pricing model and cash, the cash component of stocks value work.”– Dan Passarelli Lesson 2: “You have to evolve or die. You have to keep moving forward. You have to keep learning because there's always somebody smarter than you. And if you want to be great, you can't rest on your laurels and think, Oh, I know this stuff.”– Dan Passarelli Lesson 3: “I think one of the things that's important for the listeners to understand is the concept of anomalies.  Even if we've covered all of our risks, there are still anomalies, it could be earthquakes, nominees, natural disasters, but there could be many others.  But here we have a technical anomaly. Something very, very rare that many people hadn't seen.”– Andrew Stotz Lesson 4: “Be careful. Always try to rely on people who have long-term experience because they may be able to protect you from a market anomaly.”– Andrew Stotz You can also check out Andrew’s books How to Start Building Your Wealth Investing in the Stock Market My Worst Investment Ever 9 Valuation Mistakes and How to Avoid Them Transform Your Business with Dr.Deming’s 14 Points Connect with Dan Passarelli: markettaker.com Twitter Connect with Andrew Stotz: astotz.com Linkedin Facebook Instagram Twitter Youtube My Worst Investment Ever Podcast