2024 Options Trading Year in Review: Record-Breaking Gains and Key Insights
I asked GPT to analyze my options debit alerts for 2024... Find out what insights it found...
Introduction
2024 has been an extraordinary year for options trading, with the Two Hour Trading community capturing some of the most significant market moves through strategic options plays.
I asked ChatGPT to analyze the alerts. Let's break down the highlights and key lessons from this remarkable trading year it found.
Record-Breaking Trade Alerts
Top 5 Trade Alerts of 2024
#1 SPX 5280p (May):
Entry: $0.10
High: $43.00
Potential Return: 42,900%
A single contract could have $100 into $43,000
#2 SPX 5500c (September):
Entry: $0.50
High: $60.00
Potential Return: 11,900%
Perfect timing on a major market reversal
#3 NVDA 800p (April):
Entry: $0.50
High: $40.00
Potential Return: 7,900%
Caught the tech sector correction perfectly
#4 SPX 5450c (September):
Entry: $4.50
High: $110.00
Potential Return: 2,344%
Capitalized on a strong bullish momentum
#5 SPX 6050c (December):
Entry: $0.20
High: $4.50
Potential Return: 2,150%
Year-end volatility play
** I NEVER expect to catch the entire move on these alerts, this is not my process. I systematically take profits and usually am out 100% of my original position by the time an alert reaches 20x. I will roll into new strikes and positions to capture the gamma boost. Join our community to develop your skill in this.
My philosophy is I rather systematically take profits at 3-10x EVERY TIME vs that one time catching over 50x! Why? Because of the options I choose that deliver over 10x gains will often go to 0 by end of day and the compounding power of 300% gains is immense!
DO NOT FOCUS on 1 trade to solve all your trading mistakes in the past. Think instead of building a pyramid where you have a wide base of consistent wins with a handful of grand slams forming the peaking of the pyramid.
Having that foundation and confidence from the consistent wins lets you build patience and confidence to let the bigger picture runner trades payout!
Want live trading alerts and to learn how we plan and position our trades?
Monthly Performance Analysis
Strongest Performing Months
April: 1,583% average potential return
Characterized by tech sector volatility
Multiple SPX opportunities
May: 1,428% average potential return
Featured our biggest single-day winner
Consistent opportunities in index options
January: 1,142% average potential return
Strong start to the year
Notable wins in NFLX and SPX
Key Trading Patterns Observed
Index Options Dominance
SPX options consistently provided the highest percentage returns
Intraday trading showed better results than swing trading
Sweet spot for entries: $0.20 - $3.00 range
Sector Leaders
Technology
NVDA
AMD
META
Large-Cap Tech
TSLA
AAPL
GOOGL
Specialty Plays
SMCI (Multiple 1000%+ trades)
ARM
AVGO
Trading Strategy Insights
What Worked Best
Quick Scalps
Entry and exits often within 1 hour
Clear profit targets
Volume-Based Entries
Following unusual options activity
Large block trades as indicators
Momentum confirmation
Risk Management
Small position sizes
Strict stop losses
Scaling out of winners
Lessons Learned
Patience Pays
Best trades came from waiting for perfect setups
Avoiding FOMO saved capital
Quality over quantity
Market Timing
Morning trades (10:30-11:30 AM EST) most reliable for positioning
Avoiding lunch hour doldrums
Following market momentum
Position Sizing
Small entries allowed for larger position scaling
Risk management preserved capital
Emotional control improved with proper sizing
Looking Forward to 2025
Areas of Focus
Continued emphasis on index options
Monitoring tech sector volatility
Adapting to changing market conditions
Potential Challenges
Increasing options premiums
Market volatility changes
Economic uncertainty
Conclusion
2024 demonstrated the incredible potential of strategic options trading. While not every trade was a winner, the overall success rate and magnitude of winning trades proved the effectiveness of our approach. Remember, past performance doesn't guarantee future results, but the lessons learned this year will be invaluable for future trading.
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Disclaimer: Options trading involves substantial risk of loss and is not suitable for all investors. Past performance does not indicate future results. Trade at your own risk and only with capital you can afford to lose.
Want live trading alerts and to learn how we plan and position our trades?