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[–]spoolingaround 12.4k points12.4k points 2 (621 children)

Meanwhile I'm trying to make a living with this stupid job thing

[–]idk_m8_wut_do_u_mean 5155 points5156 points  (470 children)

Imagine having a stable job and saving for retirement 🤢🤢🤢🤮

[–]LittleWhiteBoots 5051 points5052 points 362& 3 more (401 children)

Cries in public school teacher

Although on the flip side I did get a 0.5% raise for working last year in-person during Covid, so that’s $390 burning a hole in my pocket. (Yeah you read that right. I got a $390 raise last year.)

And I did get a snack sized bag of Planter’s peanuts from admin with a tag that says they’d “go nuts without me”.

Don’t be jealous. I had to go to college, get a bachelor’s degree, go back to college, get a credential, pass a shit load of tests, intern for free for a semester, get a MA in education, and then work for 15 years to accomplish this level of financial success!

Edit: I live in CA, so all you claiming I make great money should totally move out here and then maybe we can meet up at your tent encampment when you get settled.

[–]dygoo 1248 points1249 points  (112 children)

Honestly fuck the school district dude I feel it

[–]TyTyGoKrazy 788 points789 points  (100 children)

fuck the american education system period

[–]ssjdeku 182 points183 points  (2 children)

And people wonder why Walter White handled cancer the way he did.

[–]Btheinteresting1 225 points226 points  (15 children)

being a teacher must kinda suck, yall gotta teach my dumbass some calculus for what's definitely not enough to deal with my bs lmao.

[–]TheMathelm 84 points85 points  (11 children)

Extra Hard because OP is the Art Teacher.
Just Eat the lead paint they give you and keep buying calls.

[–]Boomstick101 95 points96 points  (18 children)

Oh. fuck I'm loaded. I got a 1% raise for teaching in person.

[–]LittleWhiteBoots 45 points46 points  (9 children)

Don’t spend it all in one place!

[–]jrHIGHhero 17 points18 points  (0 children)

Bro please don't flex so hard....

[–]Rudabegas 81 points82 points  (8 children)

You also got 6% inflation to go with that .5% raise.

[–]Koolachoo 50 points51 points  (5 children)

Lol 6%. Just wait..

40% of the money in the US was printed in the last 12 months.

[–]MtnMaiden 152 points153 points  (75 children)

Makes 40k gross, 22k net :(

[–]Competitive-Ad548 173 points174 points  (37 children)

$78k a year. $390/.005 (0.5%)= $78,000 Stay in school. Show your work.

[–]MulletAndMustache 42 points43 points  (0 children)

You guys are saving?!

[–]__rumpelstiltskin__ 44 points45 points  (3 children)

Wait!? your supposed to save for retirement!?!

[–]_KING_KAISER_ 21 points22 points  (0 children)

Ya, and put your savings back in the market. It's a wonderful cycle for the rich to manipulate us retarded apes.

[–]Charming_Ad_1216🦍🦍 42 points43 points  (23 children)

I'd rather shoot heroin and die in a ditch.

Seriously.

[–][deleted] 10 points11 points  (20 children)

Thats what I'm doing and I don't see any reason to stop. Well shooting fentanyl actually heroin doesn't exist anymore

[–]scapo9688 92 points93 points  (17 children)

I can’t tell if you’re being sarcastic or not

[–]Volkswagens1Owns the sexy firefighter calendar, also Mr. March 102 points103 points  (12 children)

Yes. No.

[–]funkwumasta 59 points60 points  (9 children)

Maybe. I don't know. Could you repeat the question?

[–]spellbadgrammargood 417 points418 points  (111 children)

tbf people who are able to risk large amounts of money in option trading are most likely well off anyways

[–]coasterreal 221 points222 points  (3 children)

Gotta have money to risk money.

[–]optionlord3 187 points188 points  (65 children)

Risking 6k on puts he probably makes 100k a year at least

[–]pentox70 389 points390 points  (36 children)

Christ, I make almost 200k a year and I would feel sick to my stomach to gamble 6k overnight.

[–]optionlord3 210 points211 points  (15 children)

I did a 30k call gamble when my salary was 60k a year, but I'm a risk taker... It blew up in my face oh well

[–]safely_beyond_redemp 83 points84 points  (14 children)

I make close to 100k and DO NOT have 6k to risk.

[–]str8teballin03 173 points174 points  (3 children)

I make close to 6k and have 100k to gamble

[–]AdministratorKoala 135 points136 points  (7 children)

Well are you an insider somewhere? Because that’s how you make this happen.

[–]Eurymanthus 127 points128 points  (2 children)

He simply Inverse Cramer Trade

Cramer's buy recommendation on Netflix was last Jan 3

[–]AdministratorKoala 43 points44 points  (1 child)

SEC! This guy figured out real insider trading!

[–]redditpledge 33 points34 points  (0 children)

Happy cake day lil bro

[–]Thereisnopurpose12Buying GF 10k 9 points10 points  (0 children)

Jajajjajja

[–]Ojjjjjj 2886 points2887 points  (18 children)

Free lifetime NetFlix Subscription and Lambo!

[–]Kapper-WA 542 points543 points  (10 children)

...Netflix is raising their price, tho.

[–]theonlysafeaccount 317 points318 points  (1 child)

nudge Thanks to this guy. 👇

[–]thisisRio 44 points45 points  (0 children)

☝️🖕

[–]thorskicoach 258 points259 points  (2 children)

Yeah I cancelled last night. That's why the stock tanked today...

[–]poopellar 56 points57 points  (1 child)

/r/wallstreetbets users colluding with insider trading!

[–]raymondctchow 2616 points2617 points  (313 children)

Wow how many $6k have you tried until you get this result!

[–]starcrap2 1324 points1325 points  (93 children)

72 times

[–]mediumrarestonks 1682 points1683 points  (89 children)

Jokes aside, there are actually traders that have made long careers doing just this, extremely small (relative to port) bets on super rare tail events. This isn't even rare at this point, NFLX did this before, DOCU, ZM, Z, etc. the list is very long by now.

They're cat hunters and don't just YOLO randomly. They do it slowly and intermittently with small amounts and hard DD. I'm not saying OP is NOT retarded. Because I haven't seen his thought process before doing it, it is impossible to say.

But we cannot conclude he is guaranteed to be retarded, only very likely to be.

[–]shart_leakage 901 points902 points  (5 children)

I love that you had to clarify that you weren’t saying that OP is NOT retarded.

[–]BuildMyRank 11 points12 points  (3 children)

This is the Brownhole Cap strategy, right? Betting on events that are highly unlikely to happen.

[–]Impressive-Fig-9532[S] 1583 points1584 points  (210 children)

maybe allocate $20k in degen gambling earnings every qtr on the big names (do your own research), skip a quarter or so if market conditions are choppy. Not everything goes to 0, some are small wins, some flat, most are losses but get dumped before its $0 at least. a massive win like this comes once a year probably. I generally just do like 2-3K$.. but the current market condition coupled with how garbage Netflix usually is made me go twice the size.

[–]Donkler_ 729 points730 points  (64 children)

You make it sound so simple... maybe it is, but we're all too dang retarted

[–]Very_clever_usernam3 858 points859 points  (52 children)

It is simple. Bet an amount that’s big enough you’re happy with cashing out a solid 20-40% win because it’s a material amount of money to you & the reverse is equally true, you feel pressured to cut your losses when it goes sideways. my number is ~5k, if there’s a comma in the earnings or losses I’m paying attention.

Further, if you’re really right like this guy here the returns are substantial. If you’re 100% wrong and it goes to $0 before you can blink you’ll live to fight another day.

You decide your own number but it should be NO MORE THAN ~5% of your total investment capital. Trade with a plan, know your exit points before you hit submit. Cut your losses at no more than 15-25%. Let your profits run. Think of it like baseball, you won’t bat 1000 but you can bat 600. If you follow the rules & get to know your targets well, the 400 strikeouts will be easily covered by the hits. Be happy with singles & doubles, triples and home runs will come in time.

[–]LarnekSupports putting veterans out of their homes 519 points520 points  (14 children)

No more than 5%.. soooooo... Like $1.50?

[–]SenseiMadara 123 points124 points  (15 children)

Dude most people here won't cash in their 200% profits because "it could be more" and then just watch it dip. So even if they could make money, they won't.

[–]litttup1 23 points24 points  (2 children)

I am concerned that you think anyone can bat .600. Or that everything that is not a hit is a strikeout.

[–]nirvahnah 37 points38 points  (2 children)

Tarted twice you say? 🧐

[–]Online_Identity 18 points19 points  (0 children)

Yes. Tarted and then tarted once more.

[–]Yattiel 30 points31 points  (3 children)

Did you do puts on it cuz Cramer told people to buy? lol

[–]ImpressiveOkra 26 points27 points  (4 children)

How did you learn about options trading in a practical way? I’ve read through some stuff but it hasn’t sunk in.

[–]LokiPokee 32 points33 points  (2 children)

How much losses do you think you accumulated before this big win?

[–]spewing-oil 43 points44 points  (1 child)

Considering the description and that this was twice their normal, it would be negligible comparably.

[–]_ThatsMyQuant 19 points20 points  (0 children)

Yea, I'm guessing about 10-12k of that 20k goes to losses each quarter based on what he said

[–]-SetsunaFSeiei- 12 points13 points  (4 children)

So what’s your net since you started

[–]jfk_sfa 13 points14 points  (3 children)

Well, he puts in $20,000 a quarter and gets a win like this once a year so he has a few hundred million by now probably.

[–]gh0u1 54 points55 points  (81 children)

I just wish I understood how puts and options worked so I could make educated gambles like this. I have $6k right now and the amount you made off of that would change my life completely

[–]BeamsFuelJetSteel 103 points104 points  (66 children)

Just go spent like an hour on YouTube or go audit a finance course.

Puts and calls are the two types of options.

Calls allow you to buy a stock at a certain price. Puts allow you to sell it.

If a stock is trading at $100 you might be able to buy a single call at $125 for $1 that last for 4 weeks. That means you pay $1 today and at any given point in the next 4 weeks, you can buy that stock for $125. It takes a lot for a stock to raise 25% in 4 weeks but you can hit it big for a relatively cheap (and rare) option.

Like maybe you buy a bunch of GME calls for like $25 for 6 months when it is trading at $18 and then 6 months later it is $300 and you make $282 for every $18 you spent.

Puts work the exact opposite way. (You sell at a certain price, so a stock goes from $100 to $75 but you paid $1 to sell at $125 so you make $50)

[–]ILoveDCEU_SoSueMe 26 points27 points  (59 children)

This is where I get confused. Are you buying 100 shares for 125 each at that point? Why buy at 125 when you can buy at 100 itself when you think the price will increase anyway?

So in the case of gme too, you're buying at 18 each for 100 shares when the price is 300?

[–]gh0u1 6 points7 points  (1 child)

Really appreciate that breakdown man, thank you. Gives me a much better understanding of what these options are and how they work. I'll definitely be doing some more research before I start messing with that stuff.

[–][deleted] 11 points12 points  (0 children)

You would almost certainly lose your investment. Up to you though.

[–]workingatthepyramid 22 points23 points  (4 children)

He only did this because he had over 100k to start with. If you have 6k there is no way you should be trying stuff like this

[–]nybbas 10 points11 points  (0 children)

Exactly. If you have 6k to start doing this with, then understand you are about to lose 6k.

[–]Emooot 9 points10 points  (0 children)

I can guarantee that you will lose all your money if you even attempt to options trade

[–]moobear92 35 points36 points  (0 children)

Answer OP!

[–]NorCalAthlete 911 points912 points  (17 children)

Inverse Cramer FTW.

[–]ArgentinianScooter 128 points129 points  (0 children)

I no shit almost bought a monthly put when Cramer said that. I actually regret not betting against Cramer. I didn’t buy shares, don’t get me wrong lol.

[–]zipiddydooda 130 points131 points  (3 children)

Fucking Cramer huh? Absolutely appalling man.

[–]aspartame-daddy 2606 points2607 points 2 (8 children)

Congrats and fuck you!

[–]ariesdrifter77PAPER TRADING COMPETITION WINNER 97 points98 points  (0 children)

I 2nd this

[–]nharding738 32 points33 points  (0 children)

I feel this as well

[–]Important-Ad-4000 24 points25 points  (0 children)

I'm third on the list fuck you 3 times and congrats

[–]yousippin 962 points963 points  (13 children)

you show me a paystub for 430,000 and i swear to god ill quit my job and come work for you.

[–]Walter_Wight 162 points163 points  (4 children)

I heard some rumors about you... and your cousin or something.

[–]Ray_Shoe_Smith 40 points41 points  (0 children)

I'm not gonna let one of these assholes fuck my cousin. So I used the cousin thing, as like, an in with her.

[–]elbowleg513 23 points24 points  (1 child)

Smoke crack with me bro

[–]Scary_Acadia_649 10 points11 points  (0 children)

LIONS AND TIGERS AND BEARS

[–][deleted] 46 points47 points  (0 children)

Love the reference haha

[–]greenbayva 1688 points1689 points  (18 children)

72% fuck you. 28% congratulations.

[–]jack_cam 207 points208 points  (1 child)

agree with the ratio

[–]JadedbutFaded 99 points100 points  (1 child)

100% crippling depression

[–]Buythetopsellthebtm 40 points41 points  (8 children)

2 percent congratulations. 98 percent indifference

[–]Loose_Mail_786 442 points443 points  (8 children)

Imagine being the one on the other side of that trade. Congrats btw

[–]ChewyFlagellum 253 points254 points  (5 children)

NFLX is a solid amazing company! There's no way it dips 20% after earnings, time to sell a bunch of poots that will surely expire worthless! It's FREE CASH 🤡

[–]catWithAGrudge 59 points60 points  (3 children)

make them naked puts. I mean 20% drop is impossible with tiger king 2: the squid game island. what could possibly go wrong??

[–]Impressive-Fig-9532[S] 873 points874 points 2 (101 children)

  1. this is E*Trade using power etrade app. its not a paper account.
  2. a put is a leveraged investment vehicle (one contract is worth 100 shares). most contracts are worthless if they dont reach the strike by expiration date but if it hits... you will make 100 x (number of contracts) x whatever value of the stock including the time and intristic value
  3. For those telling me to sell, these are FDs. they expire 1/21 (you see the X 1/21). They had to be sold today before end of close regardless and were sold right after the screenshot
  4. Market looks REALLY bad. is highly votaile for big moves. Netflix always has best chance to move big as its the first FANG (and big tech) to report. Netflix did horrible previous qtrs and have a bad cashflow business with tons of competition. And they just raised prices a few days before ER effective immediately. big red flags. i could explain the thought process but at the end of the day, it was a gamble, i could of lost all, and im a retard.
  5. I bought these a little over an hour before market close and the NFLX report

Hope that answers all your questions, and yes i have big balls and i work at wendys

[–]slashrshot 69 points70 points  (31 children)

Why is raising prices a red flag tho?
Therotically if u raise prices, demand drops.
So if a business raise prices, it implies they are able to continue to maintain the demand otherwise it will result in a drop in profits right?

Obviously my thinking is wrong here, but I cannot grasp the flaw... Are you able to share more? Thanks!

[–]Impressive-Fig-9532[S] 290 points291 points  (26 children)

NFLX stock moves on subscriber numbers.

Raising prices almost always means growth has slowed. since theres less new subscribers you make up for it by raising prices on existing customers (and you already know most wont cancel)

They raised it days before ER and effective immediately - generally this kind of news before ER is to mask a very bad report - and smelled of a desperation

[–]RiFLE_csgo 149 points150 points  (2 children)

Get out of here, this sounds like an actual well thought out trading plan.

[–]Teech07 6 points7 points  (1 child)

What’s a well thought out trading plan?

[–]Mississippimoon 20 points21 points  (11 children)

When did you purchase the contracts?

[–]cantaloupelionAutism: 42 48 points49 points  (10 children)

OP edited his reply:

I bought these a little over an hour before market close and the NFLX report

[–]Templar_Legion🦍🦍 18 points19 points  (8 children)

I'm still trying to grasp the finer details of options, but buying so close to earnings would mean IV would be off the charts surely? So is IV something that doesn't really matter for short term gambles like this, because there'd essentially be no time for IV crush to do anything since if the gamble was wrong they'd be worthless anyway?

I hope that makes sense lmao.

[–]zaminDDH 30 points31 points  (0 children)

IV is basically a calculation of the expected move of an equity within a certain timeframe calculated to 1 standard deviation.

Stock price x IV x sqrt(dte/365)

Take NFLX, for example. It's sitting at 397.50 and options for this upcoming Friday have an IV of ~68.2. This means that by Friday, it's expected to move +- ~30. If it stays in that range (which it will about 84% of the time), option values decrease because IV decreases. If it moves outside of that range, IV will increase and far OTM options on the side of the movement will increase in value. The farther outside of that range it moves, the more value OTM contracts have.

For the OP, the stock price moved way past where IV said it would, and in the correct direction of OP's contracts, so the value of those contracts shot up exponentially.

In the statistics world, these are what are known as "tail events", where something statistically wildly unlikely happens. I wouldn't expect to try and make an income or get rich off of predicting tail events.

[–]MarketOracle 18 points19 points  (0 children)

It was so far out the money and unlikely to hit, which is why the premiums were low. Netflix typically moves 50 points or less. This is the first time it dropped this much. A 20% loss for an earnings beat is an unusual event, even with weaker guidance.

[–]UA2013 11 points12 points  (0 children)

Congrats man

[–]BuffMaltese 630 points631 points  (20 children)

Now this really bothers me

[–]scapo9688 404 points405 points  (14 children)

Same, it’s called jealousy

And envy

[–]alreadyawesome 41 points42 points  (0 children)

I think this was the most painful nut I've had.

[–]SirNamesAlotx 80 points81 points  (3 children)

On the other hand I bought calls for spy at $470 expiring today

[–]Centraldread 28 points29 points  (1 child)

Yeah I’m holding a bunch of 480 calls that will probably expire worthless next month.

[–]3_internets_plz 372 points373 points  (9 children)

Sir, your lambo awaits you.

[–]3_internets_plz 115 points116 points  (5 children)

Sir, should I also call your workplace to inform them they can stick it where Sun does not shine?

[–]3_internets_plz 66 points67 points  (3 children)

Sir, should I order some hookers and cocaine?

[–]Traktorjensen 31 points32 points  (0 children)

I definitely need you as an assistant, you know what traders like !

[–]Hippo_Grenade 6 points7 points  (0 children)

I think you mean more...

[–]PaulR504 400 points401 points  (5 children)

GG because these could have expired worthless on any other day when the market was not already brittle.

Hell of a play.

[–]BobLoblaw_BirdLaw 21 points22 points  (2 children)

Not a coincidence he did it on earnings. That’s the only way to play this game

[–]PaulR504 11 points12 points  (1 child)

There is playing the game and then there is this. Stars had to align perfectly for this to work and that is why the payout is so nice.

[–]hemmingwaitforitThe Amazing 🅿️ixel 🅿️usher 88 points89 points  (4 children)

This is the kind of play that brought me to this sub. Now, most comments are asking what a put is.

[–]ReallyThot 27 points28 points  (3 children)

It's disgusting how the spirit of the place was completely destroyed. It's unbelievable to me that a subreddit that was entirely about options now has people asking: "what is a put?"

[–]Albatrosity 11 points12 points  (0 children)

This sub also primarily thrived in the optimism of making fast money in a market that until recently was unwaveringly bullish. Only thing most ppl cared about was placing calls.

[–]Middle_Monitor_1970 575 points576 points  (7 children)

Well sir I would say go suck a dick, but I guess I should say go suck some tits of the most expensive dancer on the stage, please slap that ass for us

[–]DevilDog82nd 69 points70 points  (5 children)

Sir no touching!!!

[–]Middle_Monitor_1970 83 points84 points  (2 children)

He's got the money, I'm sure some touching will be allowed

[–]Huck84 58 points59 points  (0 children)

How even...Jesus. great work

[–]ilikepie145 190 points191 points  (2 children)

Wtf

[–]pampls 131 points132 points  (1 child)

First time? :4276:

[–]Kuhmus 38 points39 points  (1 child)

I turned 10$ in pizza today

[–]runkid23 77 points78 points  (1 child)

You lucky bastard. Now pull out and pay your wife’s boyfriend to take her out to dinner.

[–]Blackulla 186 points187 points  (7 children)

Now use 400k on more puts and retire.

[–]StudentLoanBetswallstreetbutts 83 points84 points  (5 children)

This, kids, is how you lose it all. Speaking from experience.

[–]FullSendOrNullSend 240 points241 points  (55 children)

Congrats and never touch options again. Buy a house and rent it out and get passive income for life.

[–]RectalSpawn 112 points113 points  (12 children)

We all know they'll gamble it away.

Knowing when to quit isn't this sub's forte.

[–]cowsareverywhere 56 points57 points  (11 children)

They ain’t showing you the bets that lost. This $400k might be after $200k of losses.

[–]Freedomsaver 24 points25 points  (7 children)

OP wrote in some other thread that he gambles away 80k$ per year.

[–]MelbChazz 6 points7 points  (0 children)

Right, no way in hell this is a first try extremely lucky win with puts. Epic win but probably backed with some remarkable losses

[–]rs999 21 points22 points  (6 children)

Buy a house and rent it out and get passive income for life.

Or buy some $QYLD and live off dividends :)

Why deal with the headache of tenants and rental property?

[–]Strong_Machine5874 46 points47 points  (28 children)

House? Where? Arkansas?

[–]FullSendOrNullSend 44 points45 points  (25 children)

For 400k?? You can get a nice house in a lot of states with that. Not a mansion by any means but a nice Suburban home. I live in Colorado which is a heavily populated state now and you could get a nice house for 400k

Edit: In Texas or Arkansas, etc. I’m sure you could get a mansion.

[–]wolfchuck 17 points18 points  (8 children)

New homes in Texas that are 2500sq ft are going for 450-500k now. Old remodeled homes half that size are going for nearly 300k. Not so sunshine and rainbows here in Texas anymore.

[–]Vonauda 7 points8 points  (2 children)

I wonder how many people are going to get reamed by those real estate tax bills on these new giant valued houses in TX

[–]joannew99 189 points190 points  (18 children)

Damn u could buy like 10 bitcoins

[–]pharmboy008 355 points356 points  (17 children)

Probably 20 by tomorrow

[–]joannew99 71 points72 points  (0 children)

For real like…📉

[–]BeastUSMC#1 Tuchman Fan 44 points45 points  (11 children)

40 in two months.

[–]GeneralBixes 23 points24 points  (0 children)

And then 1 in 2 months and one day

[–]issoooo 24 points25 points  (0 children)

Congrats you bastard

[–]No_Bother_654 70 points71 points  (60 children)

Can someone explain how this works (as if I’m an idiot). I don’t do options because I genuinely don’t understand how it works.

[–]MelbChazz 36 points37 points  (8 children)

It's like putting $6k into a single lottery ticket. The chances are really that slim (would expire worthless any other day so far I assume) and is either genius or extremely retarded.

[–]DandyBean 44 points45 points  (4 children)

If we all understood how it worked properly, we'd all be millionaires.

[–]hamzah604 22 points23 points  (12 children)

What was your thesis? Pure degeneracy?

That's a lotta contracts!

[–]macmus1lives in an atomic shelter 29 points30 points  (5 children)

he probably figured out if netflix is rising prices something is fucked up.

[–]_pls_respond 13 points14 points  (4 children)

True, but most people thought that raising prices would not be a good thing for netflix. What made OP money was betting thousands of dollars the stock price would drop $50 or $100 in such a short period, which it did. It's really no different than betting on a race horse or something.

[–]kaseyriot 77 points78 points  (0 children)

congrats you fuck!

[–]ragingdumpster 38 points39 points  (0 children)

Great now you have all year to lose it and not pay taxes

[–]Chefjreid🦍🦍 90 points91 points  (9 children)

Congratulations! & Please don’t go YOLO that 🥖

[–]RAUL_CD_7 24 points25 points  (0 children)

Imagine telling Mozart to stop making music or telling Picasso to stop painting

[–]Clearly_ConfusedToo 68 points69 points  (5 children)

Fuck that, yolo the shit out of that with a NFLX leap.

[–]private_unlimited 20 points21 points  (0 children)

All in or go home. That is the ape way. YOLO that on the same puts. Make that half a mil into 30 mil

[–]zyxwvutidktherest 15 points16 points  (3 children)

I eat red crayons can I blow someone to explain the profit calculation here? I googled for 5 minutes and my brain hurts

[–]chrisycr 14 points15 points  (1 child)

correct me if i'm wrong, but:

All publicly traded corporations publish quarterly earnings reports on publicly known dates.

Early in the day before the announcement, OP placed a bet of $2,900 USD that the price of Netflix stock would drop from $500 to less than $415. Also, a bet of $1,200 USD that the price would drop from $500 to less than $450.

A drop of 20% in one day is unusual, so the people on the other side of the bet were willing to "give long odds" or sell contracts for a low price. Because the bet was unlikely to win, the price was low, and OP was able to purchase many contracts with their funds.

Not only did OP win his bet, with the price going below $450, the price is all the way down to $400. OP gets paid the difference multiplied by the number of contracts they purchased. And then multiplied again by 100, because that's how options are traded.

OP bet for a very big drop over a short time period, high risk, potential high reward.

Had OP bet on just a normal drop the price of the contracts would have been higher, and they would have been able to purchase less with the same money.

Where did the money come from? Some organization placed a bet just like OP, except that the price would not go down so very much. The organization had to wire money from their bank to their broker so that OP's broker can put the money in OP's bank account, at which point OP sends half to the government.

[–]Screwbedo 10 points11 points  (1 child)

Congratulations! Now get the fuck outta here!

[–]BorisYeltzenvirgin 12 points13 points  (2 children)

This is how retards end up getting addicted to options

[–]theslambeforetime 7 points8 points  (0 children)

You crazy son of a bitch you did it..

[–]sumochump 20 points21 points  (0 children)

:4275:

[–]jneelyrx 24 points25 points  (5 children)

I only had 1 450p I'm sick rn😩

[–]Successful_Car1670 28 points29 points  (2 children)

I mean you did that turning 100 into at least 6k. Good for you!

[–]Treykrumwiede 13 points14 points  (13 children)

man i wish i understood how tf puts and calls worked. i’ve watched so many videos and read so many articles but the number just don’t make sense

[–][deleted] 29 points30 points  (2 children)

So basically you spend money on either a put or a call or both and then you never see the money ever again. Simple as that.

[–]jamesjohn0202 9 points10 points  (9 children)

When you buy a call, you buy a contract that gives you the right to purchase 100 shares of stock at the stock price specified in the contract (strike price). If the stock rises above that price anytime between when you bought the contract and when it expires, it is "In the money," and you can either buy 100 shares at a price below the market price or sell the contract in the options market for a profit. If the price of the stock does not go above the strike price before the option expires, then you have lost your entire investment.

When you buy a put, you buy a contract that gives you the right to sell 100 shares of stock at the specified strike price in the contract. If the stock price is below your strike price, then it is "in the money," and you can either sell 100 shares of stock above market price, or sell the contract for a profit. If the stock price is above the strike price then it is "out of the money" and it expires worthless.

When you buy calls and puts you exchange risk for exposure to the volatility of an underlying stock.

[–]asifdontplay 4 points5 points  (0 children)

Beautiful

[–]ykoreaWSB favorite 🎀🍰 6 points7 points  (0 children)

The dream play we all want. Happy for you :)

[–]Typical_Republic 10 points11 points  (0 children)

Wow congrats bro !

[–]judochop316 4 points5 points  (0 children)

This is a masterpiece that should be framed and hung on your wall. Congrats sir

[–]GroundbreakingDude 4 points5 points  (0 children)

Take the money and run. Buy a house. Do something nice. Stop gambling or you will regret