With earnings behind us on 10/23, TSLA shot up to the moon. Trying this trade for a short 17 days to see if TSLA gives up some of those gains and normalizes a little. We bought a TSLA $320 - $310 debit Put spread for $438. If TSLA stays at or below $310 in the next 17 days, we will double our money. NOTE: I use these "toe dipping" trades to test the market before adding on to my positions. If this TSLA trade doesn't work out, then I will not be adding any more positions. But if the market starts dropping, I will keep adding more and more positions.

This trade was a loser and we had to close it out at a loss of $219. As you can see in the chart, "china trade deal rumors", "tsla 18 wheeler truck unveil", "tsla gigafactory" i.e all headline risks affected our trade and caused it to be a loser. As mentioned in my book, losers are part of the game and you just have to unemotionally follow your trading rules. We don't make any adjustments or try to add rolling trades on the same one. It just messes with your emotions, making you think you can somehow salvage the trade. Just accept the losers, close them and get ready for another trade. It is a very simple philosophy but works like a charm