Dr. Jim presented his three biggest trading discoveries from the past year during the "12 Days of Trading" segment on tastylive.
His most significant lesson: "Size exposes" - true risk is revealed by trade size when market moves occur. Smaller positions provide natural hedging, while oversized positions leave little room for error and can cause substantial damage before adjustments are possible.
His second insight focused on zero/one DTE options cycles, which offer opportunities but can't replicate the reliability of 45-21 day cycles. For short-term trades, Dr. Jim prefers buying premium through directional debit spreads rather than selling options.
Finally, Dr. Jim highlighted how butterfly strategies can be deployed earlier in expiration week to create multiple profit opportunities, even if maximum profit potential is reduced compared to zero/one DTE butterflies.