Thanks to the convenience of trading apps like Robinhood and Webull, and the massive media coverage of retail-driven short squeezes, there are more new traders than ever.
In April, financial giant Charles Schwab said it opened 3.2 million accounts in the first quarter of 2021. That’s more new accounts in just three months than it opened for all of 2020.
And almost everywhere you look, you see loads of these new traders flooding the internet. They’re learning that playing around in the stock market isn’t as easy as they thought it was.
These greenhorns are blowing up their accounts left and right…
But that’s almost to be expected… Because like any skill, trading requires knowledge and practice.
Now I can’t practice for you, but I can drop some knowledge…
For the uninitiated — and even some seasoned veterans — learning how to manage risk can be tricky.
But it’s a critical skill every trader must learn if they want to find lasting success in the markets.
This is even more true today with the rise in popularity of options trading, which just so happens to be my specialty…
Not everyone fully appreciates the risk that comes with trading options in popular, highly volatile stocks like Canaan Inc. (Nasdaq: CAN), Riot Blockchain Inc. (Nasdaq: RIOT) and CBS Corp. (Nasdaq: VIAC).
Stocks like these are known to move 10%, 15% or even 20% in a day like it’s nothing.
A lot of times, high-growth stocks like that can squeeze higher for one day… and then come to a dead stop, leaving accounts broken down like a car on the side of the road.
Check out today’s video and let’s talk about how to manage risk. We’ll take a look at some examples of ways traders can help reduce risk and increase their opportunity for market success.
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P.S., Traders who are tired of staring at stock charts all day just to pick through Wall Street’s crumbs have come to the right place.
Forbes contributor and expert trader Adam Sarhan is revealing how anyone can target today’s most explosive stock market opportunities… ahead of Wall Street’s elite.
And people won’t have to make risky market bets or get special brokerage permission to do it.