Hey Traders,
I just read another study…
Same conclusion as all the others:
95% of option buyers lose money at expiration.
Let that sink in.
Even when they’re right about the direction of the stock — most options buyers still end up losing money.
And if that stat doesn’t wake you up, I don’t know what will.
Options Are a Zero-Sum Game
Here’s what most folks don’t realize…
Options are a zero-sum game.
That means for every winner, there’s a loser.
So if option buyers are losing 95% of the time?
Then option sellers must be winning 95% of the time.
It’s simple math.
And in my opinion, this is the single biggest advantage the stock market offers. Period.
Nothing else even comes close.
But You Can’t Just Sell Anything
Now before you go out selling options left and right, let me be clear — you need to be smart about it.
I don’t sell options on just any stock.
I look for a few key things:
- A clear uptrend
- Some volatility so the premiums are juicy
- A stock I’m familiar with
- And a strong directional bias to the upside
Those four things give me the confidence to sell puts or spreads and stack the odds in my favor.
Here’s the Catch Nobody Talks About
So why do buyers lose, even when they’re right?
Because of how options are priced.
Let’s say you buy a call option expecting the stock to rise 2%.
Well guess what? The market maker — the person who sold you that option — has already priced that move into the option.
That means the moment you enter the trade, you’re already paying for the move you’re hoping to see.
If the stock goes up 2% like you predicted… your option might only be worth a few pennies more.
If it doesn’t move that much — or takes too long — your option decays fast and ends up worthless.
That’s why even correct guesses don’t always pay out.
How to Flip the Script
Now here’s where things get interesting…
If you flip the script and sell that overpriced option instead?
You get paid up front — in cash — because the premium is rich.
And if the stock just drifts sideways or only makes a small move?
You win.
That’s the core of what I do:
I sell options on trending stocks with solid setups.
I collect cash up front.
And I let time and probability do the work.
Want to see how I do it?
Click here and I’ll walk you through it step-by-step.
Trade well,
Jack Carter
