Meet the Trader: W. John Sabin
Learn more about Luckbox's Trader of the Month
Location: The Villages, Florida
Age: 54
Years Trading: 43
How did you start trading?
My grandfather was an options trader. He taught me about saving, trading stocks and stock options starting when I was 11. At that time, it was mostly writing covered calls. I became a Series 7 broker at 18 years old and have traded almost every day since then. It’s the best gig ever.
Favorite trading strategy?
I don’t really have a favorite trading strategy. I let IVR and the Greeks direct my approach for each trade for the most probabilistic outcome. Approximately 70% of my trades are strangles/ratios. The rest are iron condors, vertical spreads, calendars and butterflies. An occasional jade lizard will sneak in as well.
Average number of trades per day?
About 30 to 50-plus trades per day, depending on whether we are in earnings season, at 21 days to expiration or if positions are needing attention. I always seem to be looking for more trades to put on.
What percentage of your outcomes do you attribute to luck?
Luck? Zero percent. Sixty-eight percent is pure normal distribution. Mean reversion and skill fill out the next two standard deviations.
Favorite trading moment?
Every day when the markets give two-sided action. The best was probably riding Tesla (TSLA) up and up—second only to exiting most positions before March 2020.
Worst trading moment?
Those days when the market acts like it’s on a lunch break. One time, I was being long Tesla on its way down. I have learned to trade “sure things” a lot smaller. I have a love-hate relationship with Tesla.
