3 mistakes every beginner options trader makes (and how to fix them)
Been trading options for a while now, and I see the same 3 mistakes destroy beginner accounts over and over.
1. Buying OTM weeklies
They're cheap, they look like lottery tickets, and that's exactly what they are. The theta decay eats you alive. Fix: trade ITM or ATM options with at least 30+ DTE until you understand how Greeks work.
2. No stop loss
"It'll come back" is the most expensive sentence in trading. Every trade needs a defined exit — both up and down — before you enter. If you don't know where you're getting out, you shouldn't be getting in.
3. Oversizing positions
Risking 20-30% of your account on a single trade is gambling, not trading. Keep risk at 1-3% per trade. You need to survive long enough to get good.
I post daily stock & options alerts with exact entries, stops, and targets — built specifically for beginners who want to learn while they trade. If that sounds like what you need, check out Trade Alerts.
