I can't recall who brought up the topic of spreads and that I must have some knowledge of risk, not sure if someone deleted a response.
I'll say that yes, I had experience with both naked options and spreads and learned the risk of naked trading early on and was smart enough to implement spread strategies in my future trading. What really ruined my game were the position sizes and the emotional roller coaster that ensued when I lost almost everything on a directional trade that went completely against me. In case anyone viewing this thread is thinking to themselves that implementing a directional spread is low risk, please think again. At that point I needed more education on how options work, what the Greeks mean and how they impact the trade in different volatility, how to build neutral trades, and most importantly, how to adjust trades.
I'll be going back in once I do as much practice as possible on the simulation. Classic overtaking was always my issue. I did okay - just okay. That's the truth and I'm totally fine with it. I could have remained profitable and afloat if I wasn't so heavily sized. I repeat that I wasn't ready for the risk. Exactly how do you adjust when you're at almost 100% capacity? I didn't understand risk at that time. I know I wanted to minimize it but I was so excited to trade that I didn't spend enough time studying how to minimize it to a comfortable level.
I've watched so many videos and read the stories. My situation is so classic it's almost funny. But it does not make it any less painful.
ARB - honestly, I am not at all slighted by your suggestion. I completely agree with it. If I can't manage my risk or refuse to learn the right away then yes, I should go away. But I said in my opening post that I am not prepared to walk away from my mistake. I will learn the right away, but it will take a lot of time before I can get back in. That's the price I paid. I'll learn as hard as I can while I wait. By the time the door opens again I will be prepared.
I don't know if you play poker, but when you are ALL IN, then you are at the mercy of the other players hands, or the remaining card turns in the deck. All means of controlling the outcome have gone. That is where you ended up with the trading.
If your trading strategy relies on managing the variables, then it follows that you need plenty in reserve to deal with the Ifs. If this happens then this action follows etc. So position sizing is clearly the issue here, if you need reserves in order to manage the outcome.