Your Daily Bit of Wall Street Wit & Wisdom

Magnus Carlsen playing chess

World Chess Champion Magnus Carlsen, Photo by Tolga Akmen / AFP / Getty h/t

“Many have become chess masters, no one has become the master of chess.”
— Siegbert Tarrasch

So it is with markets and trading.  As we begin Options Hotline’s 30th year of publication, that concept is a key to our longevity.

To survive and thrive in trading takes having the humility to understand you can’t tell the market what to do. There is no certainty, only probability.  But if you understand how the game is played, have a well-considered strategy, and are continually learning, you have increased your likelihood of success.

Each Sunday, Options Hotline readers receive an email with my analysis, outlook, and option trading recommendation.

Subscribe today to receive our first bulletin of 2019.

Make your moves wisely, because when you trade with real money, there are no takebacks.

Have a great weekend!


A Step Ahead, Covering Our XLF Play

Grabbing Great Gains Before Financials Fall

by Steven Sarnoff

Japanese Candlestick charts are a superior way to depict market price movement, because they vividly depict and reveal the human behavior (buying and selling) that drives price direction.  They often send up early warning signs of coming turns in price.  The chart is never wrong, only the analysis.

On a day when the Financial sector took it on the chin and fell hard, our readers are glad they were able to grab their gains (+82% in a little over a month) before many market participants felt the pain.  With markets closed tomorrow, here’s a walk through how we exited a step ahead of the crowd.

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Debriefing The OptionSellers Debacle

James Courdier h/t YouTube

Risk/Reward Basics Bypassed In Hedge Fund Blowup

by Steven Sarnoff

Last week, news of a hedge fund blowup spread over financial media.  On the wrong side of sharp moves in energy markets, James Courdier, money manager, notified his clients that all is lost.  His Tampa-based options firm sent millions of dollars down the drain.  He put out a pathetic, insufferable, ten-minute apology video, placing blame on a “rogue wave,” which capsized their boat.


His blaming a rogue wave is a tidal wave of baloney.

Checking the markets with a glass of wine isn’t piloting the ship properly.  Successful speculation takes knowledge, discipline, courage, and hard work.

Here are a couple key lessons you can glean from the OptionSellers disaster, so you can avoid getting tossed overboard.

Continue reading


Welcome to the new Options Hotline Blog.

Please pardon our dust, as this new site is scheduled to be up and running early in the new year.

In the meantime, use the Pages menu above to have a look at this site (to see what we have so far) and click here to visit us at

Your patience is greatly appreciated.  Feel free to contact me with any questions, comments, and suggestions.

I always enjoy hearing from you, my great subscribers, even when you tell me my picks are crazy!

My email never sleeps!

Thanks and best regards,


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Steven Sarnoff
President, Sarnoff’s Samurai Strategies, Inc.
Editor and Publisher, Options Hotline