The best-kept secret of successful traders

I used to hate trading during earnings season. A stock either goes up or goes down. The outcomes were binary and filled with risk. It seemed like no matter what I did, I couldn't trade with consistency during earnings season. The risks were too high, and this always made trading seem dangerous. I felt like a gambler.  

Adding to my frustration was the realization that other traders on the floor of the options exchange seemed to have the earnings trade figured out. 

What the heck was I missing?

One day, I decided to bite the bullet and approached an experienced floor trader to find out how to trade options profitably when earnings season swung back around. The veteran trader agreed to teach me but gave me two conditions.

First, I would make myself available to manage his options position while he was out relaxing on the golf course. I agreed without hesitation because I knew that having a consistent approach to earnings was the quickest way to take my trading career to the next level.

Second, he expected a piping hot vanilla latte every single trading day. My treat, of course!

The veteran trader taught me And, every Friday for three months, I managed his options position. To my amazement, change happened quickly. I started feeling like I had an unfair advantage over other traders. Thanks to this new-found skill, I now had a confident approach I could depend on each earnings season.

And best of all, the trade makes sense because it's based on real information, not subjective technical analysis. Trading based on objective data leads to better trading decisions.  

The impact of this technique wasn’t limited to just me! Once I started teaching the earnings strategy to my students, their experience mirrored my own, and they were quickly convinced.