IKIGAI TRADING
Magnets, Pullbacks & The Delta Trap
☕ Coffee With Q
🎯 LEARNING OBJECTIVE:
Identify price targets using pivot points and understand why choosing the right option contract (delta) is critical to getting paid.
Before entering ANY trade, you must know where price is being CALLED to.
🧲 THE CONCEPT:
Pivot points at 689, 690, and 691 act as MAGNETS—price is actively being pulled toward these levels.
THE SETUP:
⚠️ ROOKIE MISTAKE:
Expecting price to shoot straight to the top target. The market rarely moves in a straight line.
📏 THE RULE:
Price must hit the 689 magnet FIRST before attempting 690+
📉 THE REALITY:
After hitting first magnet, expect a PULLBACK before continuation
🚨 CRITICAL STEP
You can be 100% RIGHT about direction and still LOSE MONEY if you pick the wrong option.
You must ensure you’re pricing the delta properly
If your strike is too far from your delta, you will not win the trade—even if the stock moves in your direction!
❌ BAD DELTA
Strike too far OTM
Runs out of gas before target
✓ GOOD DELTA
Proper strike selection
Reaches target with room to spare
When you avoid the delta trap and position correctly, here’s what a successful trade looks like:
🧮 THE MATH (When You Get Delta Right)
⏱️ This can happen in MINUTES when you’re positioned correctly
🎮 VIDEO GAME ANALOGY
Trading this setup is like playing a video game level:
= Checkpoints you must reach
= Obstacle to dodge after hitting first checkpoint
= Your character’s stamina bar
⚠️ WARNING: Pick a character with low stamina (strike too far OTM), and they’ll collapse before reaching the finish line—even if you were running in the right direction!