Any one use Bernie Schaeffer's stock under $30, options under $5 advisory service? Did you profit?

Question

Any one use Bernie Schaeffer's stock under $30, options under $5 advisory service? Did you profit?

Answer 1

I buy AES and earn 10% intraday. I would recommend to buy AES, option price below $5, high delta (.70).

Answer 2

Bernie Schaeffer's advice is an excellent way to go from riches to rags quickly.  I currently have a subscription to the super trader (money losing deal) and think that it might not be a bad plan to purchase it... as a contrarian.  Currently he has 61 picks open and 34 are losing.  This is a dramatic improvement from the beginning of the month where 21 of 27 straight picks were losers.  He is simply a fence swinger so assume that when he hit's it... it's good but he'll miss way more than he hits.  He states that his long term winning percentage should be around 40%.  This makes no sense statistically speaking.  If you could accurately predict that you would be wrong more than half the time why not bet against yourself and be right 60% of the time?    

This exposes a massive problem for most investors.  You need plenty of trading (speculation) capital.  If you could make every trade you would be up $2300+ dollars.  However if you made only the last 25 you would be out $1500.  That's a $3700 swing without considering comissions or the potential that you bought more than one contract at a time.  If you don't buy them all then the chance of taking a beating is EXTREMELY HIGH.  For you to have made all the trades that are currently open (forget the ones that have been closed) you would need $37,000+ and likely about $45,000 to have been able to cover the others that are now closed.  The other trading services would require far less capital but you have to have enough to make all the trades.  Additionally I have seen some big losers early this month where options went from $32 to $12 (for example).  

My recent profitable strategy is to bet against Bernie because it appears that he makes buying decisions at the worst possible point.  So he says buy a call and I buy a put.  It seems to be working.  A huge problem that I also have with him is that I have managed to beat him on his own recommendations multiple times.  He recommended to buy a call at $9.20 or better and he recommended to close at  $6.00 (or so I forget the exact number).  Ok so that's a $320 loss he recommended.  I looked at the chart and decided to wait because it looked bullish to me.  I sold a little more than a day later at $8.40.  Still a loser but not as bad.  So it would appear that he made two bad calls in that instance and if you aren't comfortable with charts you would be busted.  

If you want the same strategy go to earnings whisper and buy some options in front of earnings announcements.  You probably will do at least at well as he does with these wild guesses.  I lasted about a month with Bernie before I completely lost faith that he knows anything about trading.  You could flip a coin and have approximately the same results.

Good luck