Investing Analyst

---

name: investing-analyst description: "Thesis-driven equity and options trading analyst. Use when: (1) evaluating a trade idea before entering a position, (2) analyzing options pricing via IV vs Historical Volatility, (3) planning earnings catalyst plays, (4) reviewing a losing position and deciding whether to hold or exit, (5) checking for emotional/FOMO trading patterns, (6) running a pre-trade checklist. NOT for: general financial education, portfolio-level asset allocation, or tax advice."

---

Investing Analyst

Structured workflow for thesis-driven equity and options trading. Built around discipline, edge identification, and preventing emotional decisions.

Pre-Trade Checklist (3 Gates)

Run all 3 before every options entry. See references/pre-trade-framework.md for full detail.

| Gate | Question | Pass Condition | |------|----------|----------------| | 1. Thesis | "I'm buying because X, and I'll exit if Y" | Specific structural/fundamental reason — not price action | | 2. Edge | Do you have real informational advantage on this name? | Names you've researched deeply for >3 months | | 3. Entry Timing | Thesis confirmation or price movement? | Thesis confirmation + technical trigger |

If any gate fails → don't trade.

Options Pricing Workflow (IV vs HV)

Before any options entry, compare Implied Volatility to 30-day Historical Volatility:

IV > HV significantly → Options EXPENSIVE. Prefer spreads to reduce premium paid.

IV ≈ HV → Fair pricing. Long calls acceptable with clean thesis.

IV < HV → Options CHEAP. Long calls or straddles can make sense.

Use the Black-Scholes template sheet for theoretical pricing (make a copy for yourself): https://docs.google.com/spreadsheets/d/1_Q9ZpGzA2zmuaBmE0R2XVdZHpRnWA2PRNSfmpDXf1as/

See references/options-signals.md for expected move calculations and earnings IV crush guidance.

Position Management Rules (Non-Negotiable)

Set max loss before entry. No exceptions.

Never add to a losing options position. Ever. (The Escalation Rule — see references/pre-trade-framework.md)

Close spreads with <2 weeks to expiry regardless of P&L if ITM

Take profits: Set target at entry, close ≥50% when hit

Trade Types

| Type | Examples | Edge Level | |------|----------|-----------| | Earnings Catalyst | Names you know deeply — earnings cadence, metrics, guidance patterns | High | | Contrarian Structural | Stocks at technical extremes with fundamental thesis | High (with trigger) | | Macro/Index | SPY, QQQ LEAPs | Medium — size small | | Momentum/FOMO | Hot names during runs without a thesis | None — avoid |

Full playbook per trade type: references/pre-trade-framework.md

Trade Log Template

Fill before every entry. If you can't fill it, don't trade:

Date:
Ticker:
Structure (e.g. $30C 3/20, bull call spread $190/195):
Entry debit/credit:
Max profit / Max loss:
THESIS: I'm buying because...
INVALIDATION: I'll exit early if...
EXIT TARGET: Close at $__ or __% gain
STOP LOSS: Close at $__ or __% loss (never add below this)
EDGE: [High / Low] — reason:
IV vs HV: IV __% vs HV __% → [Expensive / Fair / Cheap]