Your Hot Money Survival Guide

August 2, 2019

Hot Money is… well, HOT!

And it moves fast. Sometimes you only have mere minutes to act before a play shoots higher.

We know you aren’t a day trader, sitting at your trading desk all day waiting for your next Hot Money Trader play.

That is why my team and I work hard monitoring the markets day in and day out. Our goal is to provide you with the details you need to act on every trade quickly.

But markets move. It’s hard to cover every “what if” when we send out an alert.

So we created this quick survival guide — letting you know what to expect and to help you navigate the ins and outs of Hot Money.

Here at Hot Money Trader, we play to win.

We need to treat every Hot Money trade the same.

This approach makes options trading easier and eliminates poor emotional choices.

Patience, persistence and consistency are the keys to being successful making money with Hot Money. If we do that, every successful Hot Money trade is won before it’s ever entered into the market.

With that in mind, let’s get started…

Buy Recommendations

When my Hot Money Tracker spikes, I will send you an immediate action “Flash Hot Money Alert.”

In it I will detail exactly what option to buy and exactly what price to pay.

It looks like this:


  • In your brokerage account, locate the ALLY October 19, 2018, $29 calls:
  • The symbol is ALLY181019C00029000.
  • Search for options under the stock ticker: ALLY.
  • Make sure you choose the right option expiration (expiring on October 19, 2018).
  • Choose the $29 strike price.
  • Select “calls” options. Select how many contracts to buy.
  • Once you have the right contract, click “buy to open.”
  • Choose “limit order.” (This sets the max price you’ll pay per contract).
  • Use a limit of $0.40 per contract.
  • Click “Day” for TIF (Time In Force).
  • Then click “buy” to transmit the order.
  • You can also call your broker and say, “I want to buy ALLY October 19, 2018, $29 calls with a $0.40 limit; for the day.”

*Please note that this is not an official recommendation.

Notice there is a limit price. I set these limits to give you the highest gain potential. When placing your orders, you should always aim for the limit price or better.

If you choose, I can also send you a text message to your phone — letting you know a buy is waiting for you in your inbox.

(To sign up for text message alerts to your phone, simply click here. While this service is free, please be advised that regular messaging rates apply.)

So what if you don’t have time to act before the price goes past the limit price?

Not to worry — I aim to send you a minimum of one Hot Money trade a week. Don’t chase the price up… That will only lead to losses in the end. There will always be another profit opportunity right around the corner. Hold tight.

Sell Recommendations

Hot Money moves fast. Most times we only have a few weeks before our option trade will expire… worthless.

During this time, our window of opportunity for profit can be very small.

We understand that not everyone is able to act immediately upon sell alerts.

The market moves quickly sometimes you are unable to sell out for the biggest profits.

That’s why we give you the option in every trade to guarantee you don’t miss out on any profits with stop orders.

Brokers will let you set protective orders — called stop orders or trailing stops — by price or percentage of your position. When you set up a stop with your broker, your broker will automatically sell your position when it hits the price you set — protecting the capital left in your position.

Subsequently, you are also able to set an order to guarantee profits, setting a limit order for a 50% gain and filling when the market hits that price.

In Hot Money Trader, we recommend placing a custom order known as an OCO (One cancels other)

This means if one of these orders triggers, the other will be cancelled automatically. You should be able to do this simply with your broker.

If you are not able to set up this OCO order, it is necessary that you manually cancel one sell when the other one triggers.

A typical sell order looks like this…


  • Place a custom order known as an OCO (One cancels other), good till cancelled.
  • Sell to close KO Feb. 15, 2019, $47 puts at $0.35 per contract.
  •  — AND —
  • Sell to close KO Feb. 15, 2019, $47 puts at $0.90. Good till canceled

*Please note that this is not an official recommendation.

Again, don’t worry. I will never leave you in the dark.

If the order triggers, I will send you an alert letting you know. (If you weren’t able to act, this would be your chance to sell.)

This will allow you to sell your position at market price, as well as reminding you to cancel any open orders if need be.

Always remember, NEVER trade with money you can’t afford to lose. You should keep your positions small — no more that 2% of the money you have set aside for the Hot Money Trader should be used on any one trade.

Open Trades in the Red

When we follow Hot Money into a name, sometimes the gains come quickly. Sometimes we have to wait.

Waiting for those big moves can make a person anxious, especially if you’re staring at red in your open portfolio.

It’s easy to start to doubt your trading system and sell too soon.

I’m here to tell you, don’t.

Remember, Hot Money is piling into these trades because they are placing all-or-nothing bets. They believe they are right. If they lose, they lose everything.

Often we will find our trades in the red before they pop. Don’t panic.

Hot Money trades happen fast. A few hours can turn a double-digit loss into a triple-digit gain.

I promise to never leave you in the dark. Every Friday I will send you an update on our open trades and detail anything you might need to know. When it’s time to sell, I’ll send you an email.

Bottom line: I will always have your back.

Anything Else?

Tons! There are tons of resources on the Hot Money Trader website. (Simply click here.)

There are reports to get you started here and exclusive video tutorials here.

Plus, we are always adding more! We’ll shoot you an email when new content becomes available.

If there is anything you would like to see or you have any questions, feel free to shoot me an email. I can be reached at [email protected].

My team and I read every email that comes through — and while we can’t answer directly, I will always tackle the most pressing questions in my Friday updates.

To wealth, freedom and options,

Joshua Belanger
Editor, Hot Money Trader

Joshua M. Belanger
Joshua Belanger is founder of CounterVest and the editor of Hot Money Trader. He has been providing ordinary investors blockbuster returns since 2008. In 2018, the average return of Hot Money Trader beat the markets by over 15%