Okay, so I told myself last night that I go to sleep early and take the next day off. but do you know what? I did instead instead I Decided to stay up until 3 a.m. sifting through Wall Street Bets on Reddit, Wall Street Bets And for the lucky few of you who don't yet know what Wall Street Bets is. It's a popular trading community trading community on Reddit, but in reality it's more like a circus where people make risky trades based on anonymous opinions, or they concoct really sadistic and twisted strategies and then post bragging about how much they lost or how much they gained.

And if you have been on any type of trading forum, you know that this behavior is not really that uncommon. But Wall Street Bets They take it to a whole another level. It's really fantastic. For example, many of you may have come across the video of that guy on Robin Hood who exploited their infinite money lending glitch or the other one that turned fifteen thousand dollars into over 1.3 million dollars with leverage.

Well, both of those were from Wall Street Bets. In fact, Wall Street Bets is sort of the bee's knees the knees of the B's when it comes to ridiculous trading. But anyways, while Wall Street bets can be a little bit on the raunchy side at times, I thought I'd compile a list of the five top dumbest trades or trading stories that I came across. Now, of course, this isn't to criticize anybody.

I am a huge fan of Wall Street bets because it's very entertaining. Any online trading forum is going to have its problems. And while most Wall Street Bets users tree trading is gambling, they admit that they're gambling, so it's not like I have any criticism for them. They're even given the name Bets assumes that a lot of people are gambling, but the goal of this video is to help discourage folks from making some of the mistakes that I see in these posts.

And of course, to discourage treating trading is gambling. A lot of people trade and they don't really realize that they're gambling with the way that they're doing it. So we're trying to discourage folks from treating trading as gambling. But before we get into it, one of the biggest mistakes that you can make as a trader is of course failing to hit that ravishing like button.

And of course, if you would like more content like this in the future, make sure to let me know in the comment section below, but without further ado, let's go ahead and get into it. So I Want to start with this trade now. Unfortunate Reddit user number One sold his 24 shares of Alphabet, the company that owns Google right before market closed on July 25th 2019. Now this was a total sale of twenty seven thousand, one hundred and ninety two dollars.

Now unfortunately, he didn't share what he bought them for, so we don't really know what his P&L is here. but let's take a look at what he missed out on right after he sold. Google released a great earnings and guidance report and the stock price ran up like an inflamed banshee. That means that if he had sold out just one minute, just one minute or possibly two later than he actually did, he would have been able to take advantage of this game.

This must have left Reddit user number one feeling like a goose in a goose fire. But I'd say the question with this one is what his actual trading plan was. Did he have a trading plan knowing? Wall Street bets. He probably didn't have a trading plan, but if his plan was there and his plan was simply to write the price drinks earlier and then sell out had a slight profit upon break of directional strength here, then we couldn't really fault him because maybe he just didn't want to hold through earnings.

or maybe he had a longer term position and decided to sell out before earnings just to make sure that he didn't get derailed Again, couldn't fault them for that. Holding through earnings can be a gamble, but it depends on his plan. and I'd say with this play, he didn't really do anything wrong selling out because again, holding to earnings can be a gamble unless you do your due diligence beforehand. But in terms of trading by the books, there's nothing really wrong with this.

But the real issue is that he didn't re-enter upon noticing elevating factors when the earnings came out. Why don't you see your first elevating factors when it comes to a positive earnings play, you could say Okay, well, I'm going to write the price ranked up and then sell out and that way you can play this earnings play so it really sucks is that he didn't reinter upon elevating factors appearing Ok, so Reddit user number Two lost fifty two thousand, three hundred dollars buying put options on Espy. Why? So he was bearish on Espy. Why? And as he so accurately and eloquently put it, this is like losing an entire year of salary for the average income of an American.

And he bet all of this on the notion that Come January 11th Spwhy would be trading below 248. But why why is that? Well, he had become an adamant bear upon seeing this brisk sell-off towards the end of 2018 and was just absolutely certain. He was absolutely certain folks that it would continue selling off because it just has to it just because it was selling off before. And of course, you can't just start throwing up after selling off, right? So he bet that it would keep selling off and that he would finally be able to move out of Papa's closet.

However, to his fruitless dismay, Come January 11th Spwhy was trading at 256, it had started to recover and Reddit user number Two's options expired worthless. I Guess you could say he felt like a goose in a goose fire. Okay, ready, user number three. Now, this individual lost over two hundred and thirty thousand dollars in just one week after continuing to double down on CGC his account balance went from two hundred seventy thousand to forty thousand.

And that's like jumping from a Ferrari to a decently equipped Honda Accord Why did he lose this money? Charlie? Well, because he was just so certain he was certain as a certain Cindy or as positive as a positive Paul that CGC was going to reverse. He felt that this long-term downtrend was just calling for a reversal because it just has to. It just has to pop up. However, like we always say, it's never a good idea to trade against the direction of a stock unless we have adequate signs of a recovery.

And Reddit user number three wiped out his account. But Reddit user number three felt that that just wasn't enough. He hadn't lost enough money, so he decided to triple down. He bet again on CGC going up.

He bet his remaining balance and boom, it didn't go up. Then Then here's the stark humor in it. When CGC finally did begin to reverse, Reddit user number three was nowhere to be found. He'd already wiped out his account.

It's safe to say that he felt like a goose in a goose fire, but what could he have done differently? Well, look, you can't just buy stocks because they've been beaten down. I Always say you can't just buy a sick dog on the side of the street, You need to see signs of it recovering. If you see a sick puppy for example, on the side of the street, it might be cute, but if it's dying, it's no use to you. bringing a sick puppy home to your son Timmy or your daughter.

Gina and then having it die in their arms is really cruel. And it's the same thing when it comes to stocks. You need to see adequate signs that they are recovering. Also, when you're wondering why I have weird coverage of MJ stocks, it's because I actually can't say the full word for MJ because if I say the full word for MJ YouTube's algorithm is going to pick that up and they're going to monetize the video which will then hurt the outreach for the video.

So in any case, if you're wondering why I find creative ways to cover MJ and I never really say the actual word or anything related to the word, It's because I don't want to be demonetized. Okay, and building on CGC Here's another one on CGC So Reddit user number Four made a bold post claiming that he was ready to be realistic about the MJ industry and that it was time for everyone else to start shorting stocks like CGC He was like, look, folks, you guys are stupid I Read it User number Four boldly exclaimed that I will short as much of CGC as possible. Unfortunately for him, CGC had other plans and it decided to all of a sudden after many months of downtrending to decided all of a sudden to start reversing. He must have felt like one goose and the geese fire.

Now, Reddit user number Five was quite a bold man. Unfortunately, in his case, fortune didn't favor the bold Reddit. User number five took out both margin and money from his credit card in order to get himself into a bullish position on Amazon before earnings right around here. He bought calls, he was taking a bullish position and he figured he'd be safe as long as he bought.

Not just they call expiring right after earnings, but also one that expires on October 11th. He figured there was no way it could possibly get beat down for so long. Even in the worst case scenario, this is Amazon we're talking about this is Amazon after all, and when was the last time Jeff Bezos cheated on somebody? Unfortunately though, for Reddit user number Five, Amazon gave him a prime spot to the poorhouse. He wiped out an immediate 60 percent of his account and adding to an eventual loss of 37 thousand dollars.

as they continued to sell off towards the later expiration date, he must have felt like a goose in a goose fire. But what is it that I can actually say about this? Well, obviously you shouldn't be training with more money than you can afford to lose. Obviously, you shouldn't be cashing out your credit cards and then training with money. from those, You should only be trading with what you can afford to lose.

I'm fine with trading on margin given by brokers. That's fine as long as you have the money to cover it elsewhere. I Know some folks who have a full-time job where they make maybe seventy or eighty thousand and then they take out margin of like a hundred thousand or 150 thousand. I Don't know if you're lying to your brokers or whatnot, but you should not be taking out a sizeable chunk of your income, especially exceeding your yearly income in margin.

You need to be trading with the same amount of money that you have the same amount of money that you can afford to lose. Also, I have noticed a new trend on the Facebook group and a ton of other communities where people like oh can I trade my way out of debt. No, you can't trade your way out of debt. That is a really stupid strategy.

Being stressed out and trading and having to make a profit on each trade is going to stress you out and create worse performance. Traders are the most successful when they can trade like spoiled brats. If you're not trading like a spoiled brat, you're going to fail. Some people quit their jobs and then they immediately need to make an income from trading.

but they have no skill whatsoever. so they try to force as many trades as possible and then they end up a lot poorer than they ever were before. And then if they take out credit card, debt or their borrowing on margin or whatever, they end up in a lot or a situation. and they were before.

But simply, if you're trading with more money than you can afford to lose, this is a fast way to become a winter gnome in the summertime. But anyways, folks, I Hope that you enjoyed this video. Which trade do you think was the most ridiculous? Let me know in the comment section below. do you like more content like this in the future? Let me know in the comment section below: I Really appreciate you watching this video and I hope that you found some value in it.

Wall Street Bets can be a little bit raunchy of a subreddit, but it it can be interesting and educational if you know what to look for. Of course this video wasn't good fun. I Understand that Wall Street Bets even given the name Bets assumes that a lot of people are gambling and I get that and most people in the forum understand what's happening. It's not to be looked at as criticism of Wall Street Bets I Have the utmost respect for the high profile gamblers on there.

These are just my reactions as a trader. Anyways, have a great day and I'll see you in the next video.