back in the days, when I started trading, I was focused on daytrading, and I would spend several hours a day sitting in front of the computer watching quotes and placing trades, writes Markus Heitkoetter of Rockwell Trading.
It was “fast and furious.” I often opened and closed a trade within less than a minute and made hundreds of dollars. It was great...but...when day trading, you need multiple screens, a super-fast and reliable internet connection, and several hours a day. So, as you can imagine, This is getting challenging when traveling. That’s why I focused on a Simpler way to trade.
As you know, these days, I’m Swing trading stocks and options. This made my life much easier. I only need 30 minutes per day – sometimes even les, and I don’t need multiple monitors and I can use the crappiest internet connection and still place trades – Yes, even on a plane where you have the worst connection ever. And yes, I am making money while I sleep.
When trading “The Wheel” strategy, I’m selling options. This means that time decay is working in my favor. Every day, actually, every hour the option loses value. Since I sold the option and need to buy it back cheaper, This is working in my favor. Immediately after selling an option, I place an order to buy it back at 90% of the max profit.
This order is sitting in the market and works for me, even when I’m not in front of my computer. While I was on the high-speed train, I connected to the slow Wifi, opened my trading platform, and glanced at my open positions. Everything is going very well, so I closed the computer again and watched the world fly by at 180 mph. Eventually, I got tired, and I took a nap.
When I woke up from the nap, I saw a notification that my FedEx (FDX) trade closed at 90% of max profits. That was a trade that I opened on Thursday! And just 4 days later, I closed the trade at 90% of the max profits! How’s that for making money while I sleep? (Well, technically “napping” – but you get the idea).
Learn more about Markus Heitkoetter at Rockwell Trading.