Tito Adhikary

Tito expresses excitement about being on TraderLion, a show he's watched for years. He thanks host Richard for having him and describes it as a full-circle moment — going from viewer to guest. Richard introduces Tito's remarkable background and sets the stage for a deep dive into his trading journey.

Tito was born in Canada but raised in India, where his father ran a chemistry lab. He followed his father's path with a bachelor's and master's in chemistry, then made a leap to Harvard for a PhD in cancer biology, shifting from chemistry to the life sciences. After eight years as a graduate student and postdoctoral scientist, he transitioned into venture capital in the biotech space — a background that would later shape his analytical approach to the markets.

Tito's fascination with markets started young — he checked the Sensex number in the newspaper every morning in India without understanding what it meant. After moving to the US in 2015, he learned about the S&P 500 but was too nervous to risk capital, partly due to his family's conservative financial mindset. He built a live Google Sheet tracking Apple, Amazon, Microsoft, and Nvidia — watching it go up for two years without acting. The COVID crash in March 2020 finally pushed him in: with the S&P down 33%, he opened a brokerage account and deployed most of his US savings into blue-chip stocks over two weeks.

By early 2021, Tito's COVID stocks had multiplied 2.5x. As lockdowns stretched on and lab experiments paused, he went down a trading rabbit hole — moving from long-term investing to swing trading, penny stocks, and options. He quickly realized buying options was a losing game for him, pivoted to selling premium, and learned that selling options has a higher win rate but larger losers. The phase gave him exposure to the full risk spectrum, setting the stage for the harder lessons of 2021.

"I didn't realize at the time how lucky I was. I sort of without any skill timed the bottom — but 2020 was just so forgiving."

Asked about his learning sources, Tito describes reading Market Wizards by Jack Schwager and Mastering the Trade by John Carter. Market Wizards showed him the diversity of successful trading styles — each chapter featured a different trader with a different methodology, which taught him there's no single right way. From Carter he absorbed practical options concepts like price compression. A key takeaway from Market Wizards: there are bold traders and there are old traders, but there are no bold old traders — a principle that warned him that longevity requires survival first. He also listened to podcasts like Chat With Traders.

"There are bold traders and there are old traders, but there are no bold old traders."

Tito draws a direct parallel between scientific research and trading. In the lab, you start with a hypothesis, run an experiment, build a database of results, and tweak variables like concentrations and temperatures. In trading, you start with a trade thesis, take a position, build a database of outcomes, and tweak variables like position size, entry tactics, and exit rules. The core skill is the same: learning from failed experiments — or failed trades. A PhD trains you to be detail-oriented, take notes, learn from mistakes, and operate under uncertainty for years without binary feedback — all directly transferable to trading.

A PhD trains you for long periods without clear progress markers, which prepared Tito for trading's inevitable struggles. He never entered trading expecting to master it in one or two years — he knew Minervini took six years and many greats took seven to eight years to achieve consistent profitability. Starting trading as a side pursuit rather than a career necessity gave him realistic expectations. When times got tough, this mindset helped him persist. The host relates this to Sean Ryan, David Ryan's son, who learned the same lesson: the market doesn't care who your dad is. Tito agrees — no credential, Harvard PhD included, protects you from the market's lessons.

"I have never felt so stupid and so dumb as in the market. The market teaches you so much about yourself and all your liabilities."

Tito's most painful trading day came in December 2021. Heading into it, he had recovered from the ARKK bust and was having a profitable year. The day started with a $4-5,000 loss — already significant on a graduate student stipend of $40,000 a year — but it snowballed into revenge trading and tilt, ending with a $33,000 loss. That evening, he had dinner reservations with his girlfriend (now wife) to celebrate her new job, and he sat through the meal emotionally absent, unable to be present. He didn't tell her the amount until 2025. The embarrassment and self-disgust took months to process.

After the $33K loss, Tito spent much of 2022 understanding his personal triggers. He realized the Thinkorswim active trader ladder — with its flashing green and red lights — was a trigger for impulsive behavior. He switched brokers and built guardrails: he starts each year with a fixed balance and never wires in more money during the year when things go badly. He learned to recognize when tilt is coming — sometimes he'll buy SPY shares and immediately sell them to lock himself out for the rest of the day. The key insight: you are your worst enemy, and you must design your environment to protect yourself from yourself.

Despite the brutal 2022 bear market, Tito ran a $15,000 account to just under $90,000 by September. His best month ever — August 2022 — netted about $25,000. Then came the September FOMC day: the market initially popped on Powell's rate decision, and Tito bought Tesla calls at the 314 resistance breakout. The market reversed violently, and Tesla didn't see 314 again for over a year. Instead of accepting he was wrong, he averaged down at multiple support levels — committing the cardinal sin of adding to a loser. He lost $15,000 on back-to-back days, giving back all of August and more. The next day brought more random trades and more averaging down — a lag effect of not accepting the loss the day before.

After the 2022 FOMC blowup, Tito was mentally burned out. He traded a $5,000 account throughout 2023 to rebuild — not because he lacked capital, but because his mental equity curve had cratered. He learned that there are two curves to manage: the equity curve on your P&L statement, and the mental equity curve in your head. When you have a big loss, you must size way down and let yourself work back up to the confidence level needed to risk real capital again. The 2022 experience set him back months — almost a year — mentally, even though mathematically he could have sized back up faster.

Tito's methodology starts with stock selection. The bread and butter is finding stocks showing relative strength versus the indices, ideally with a catalyst behind them. He cites Nvidia in 2024 and SMCI as examples — stocks with strong RS and identifiable tailwinds. When you start with the right stock, you tilt the odds in your favor before worrying about entry timing. He learned this from studying the US Investing Champions, who consistently emphasize stock selection as the foundation that all other decisions rest on.

The second pillar is being in the right sector — in 2024, semiconductors had a massive tailwind that made stock selection easier. The third and most important pillar: the right market. Even the best setups fail much more frequently when the overall market is unsupportive. Tito uses a Tesla trade from September 2022 as a cautionary tale — a perfect-looking setup that failed because the macro environment was hostile. Respecting the market environment is a guiding principle that overrides individual stock analysis. Without market support, the best stock in the best sector will still struggle.

Tito sizes options trades by tying dollar risk to a percentage of his net liquidation value — typically around 3% per trade. Rather than using percentage stop-losses on options (which aren't meaningful for instruments that can gap), he sets a dollar amount he's willing to lose and adjusts position size accordingly. In a forgiving, breakaway momentum market, that $5,000 risk might represent a 40-50% option stop; in a whippy, volatile market, he'll size so that same $5,000 equals a 100% stop — giving the trade more room to breathe without risking more dollars. The governing principle is always dollar risk, not option percentage.

Tito adapts his option structure to the volatility environment. When IV is low, he trades naked long options — the premium is cheap and there's less time decay working against him. When IV is high, he uses debit spreads — buying an option and selling a further out-of-the-money strike to offset the expensive premium. He walks through a HOOD example: the stock pulled back to a level where he could risk $500 on a debit spread paying 1:3, versus a naked call that would cost more and suffer faster theta decay. The structure choice is governed by what the IV environment allows.

Tito's risk framework operates on multiple time horizons. Per trade: dollar risk is fixed to a percentage of net liq, and he exits based on price levels — if support breaks or the thesis is invalidated, he's out. Weekly: he stays hyper-aware of how he's performing. If he's up $10K on a Friday, he might risk $2K on an extra trade — if it works, great; if not, he still walks away with $8K. This prevents the scenario where a good week turns bad because of one late, oversized trade. The framework is built around protecting the equity curve, not maximizing every opportunity.

Tito's second tier of risk control is monthly: if he drops 10% or more, he drastically reduces size and trade frequency until he finds his stride again — whether the drawdown is his fault or the market's. He also has a daily circuit breaker: if he loses $20,000 in a day, he stops and walks away. These guardrails are pre-set because 'when you're on tilt, nobody thinks like their true self.' The final layer: systematically wiring out profits. In 2025, he wired out $957,000 of the roughly $1 million he made, leaving only a fraction of profits at risk. Even if he blew up his trading account tomorrow, the money is already safe.

"When you're on tilt, nobody thinks like their true self. You just have to have certain guardrails in place."

Tito breaks down his 2025 performance: a 52% win rate with a profit factor above 2, meaning his average winner was more than twice the size of his average loser. Entering the US Investing Championship wasn't about external validation — it was an accountability mechanism. Knowing his results would be tracked and compared forced him to eliminate boredom trades and stay disciplined. The competition connected to his upbringing in India, where academics were intensely competitive. He found that same drive useful in trading — but only once channeled through a structured process rather than impulsive risk-taking.

Tito's 2025 performance had distinct phases: Q1 was a slow build, Q2 was his best quarter by far, Q3 brought the September drawdown, and Q4 was choppy. Starting in May-June, he began wiring out profits aggressively — both to protect himself and because he was buying his first home. He'd wire out most of each month's profits, keeping his at-risk capital relatively stable while his net worth grew safely outside the trading account. By year-end, he'd withdrawn the vast majority of his gains, leaving the account lean for the next year's starting balance.

Tito discovered through his own data that Mondays and Fridays are his best-performing days. On Mondays, stocks emerging from tight consolidations often break out early, and options IV hasn't yet caught up to the move — so as the stock surges and IV expands, the option position gets paid on both delta and vega. On Fridays, zero-DTE options provide a different edge: if a stock like Tesla has only moved half its weekly range heading into Friday, the options are dirt cheap, and a skilled trader can bet on statistical mean reversion for asymmetric returns. Tito doesn't trade zero-DTE heavily, but the Friday dynamic is real.

Tesla and Apple were Tito's top two tickers in 2025. In preparing for the interview, he ran a hold-time analysis and discovered something counterintuitive: his average hold was about 21 hours, but most of his profits came from trades held four hours or longer. The sub-10-minute and 10-30-minute buckets were essentially breakeven — he was cutting losers quickly (good) but also cutting winners too early. The data showed that his edge is in letting trades breathe. He acknowledges that holding longer is harder with options because of theta decay, which is why he's working on a hybrid system using stock and leveraged ETFs for longer-duration positions.

Tito's September 2025 drawdown was about 8% of his year-to-date P&L, or 10-15% of his net liquidation value at the time. The catalyst was a Tesla trade — his biggest loss of 2025, on the same ticker and same setup that also produced his biggest winner. He had sized up on what he considered a high-quality setup, and when his initial entry was wrong, he took the loss. But the stock set up again shortly after, and he re-entered successfully — a pattern he couldn't have executed in 2021 or 2022. The drawdown taught him that as you size up, you will eventually have new biggest losses alongside new biggest wins, and mental readiness for both is part of scaling.

Tito walks through his Tesla trade from September 2025. After a big drawdown from April highs, Tesla formed a multi-month base with higher highs and higher lows on declining volume — the classic contraction pattern. The 10, 20, and 50 SMAs crossed back and stacked bullishly for the first time since May. The horizontal breakout level at 357-358 was clear and unambiguous — he prefers horizontal levels over trendlines because two traders see the same horizontal level but different trendlines. On Monday September 8th, Tesla broke through but sold back down. Tito took his biggest loss of the year on the failed entry and got out near the low of the day.

Tesla set up again days later and broke out for real. Tito re-entered with the following week's 380 calls, priced around $2-3. His thesis: if this was a real Tesla breakout, the stock could move 30-40 points based on prior history, putting 380 in reach — and those out-of-the-money calls could go to $20. The trade worked: within two days, three-quarters of his position was off at 8-10x, driven by both delta and the IV explosion that accompanies a Tesla breakout. By the following Monday when Tesla gapped into the 420s, the remaining calls were worth $40 — from a $3 entry. The trade succeeded because Tito trusted the setup even after the initial loss, separating the failed entry from the still-valid thesis.

Tito's most memorable Apple trade was the August earnings. He waited until after the results came out and the next trading day began before entering. The setup featured volume drying up into earnings, price action tightening, and the stock surfing along the SMAs — what some traders call surfing on the SMAs. Apple had a history of making big runs, and the crossback of the moving averages set up a clean entry. The options went 10x, and Tito scaled out aggressively along the way — selling portions at 50%, 100%, and 200-300% — with most of the position off the same day. When a trade moves that far that fast, he'd rather lock in gains than swing for more.

RKLB had made an all-time high at 33 in January, sold off with the market, then began uptrending with an SMA crossback in April. After getting rejected at 33 twice, a low-volume pullback was quickly reclaimed — a buyer showed up the next week. Tito bought August 40 calls (roughly two months out) to trade the 33 breakout, giving himself enough time for the thesis to play out. The stock ran to 50 in two to three weeks, and the options went 5x. He was mostly out by 50, a psychological round number. The trade was powered by a fundamental catalyst — Rocket Lab was on pace for 20-plus launches in 2025 — layered on top of a clean technical setup.

Tito traded CoreWeave's IPO breakout — a classic setup with SMAs crossed back, price compressing toward the IPO high, and a series of catalysts (first earnings, institutional validation, expanded OpenAI deal, and Nvidia news later in the move). The stock tripled in a single month with no overhead supply and didn't even test the 10-day SMA until the move was nearly over. Tito admits he underplayed it badly: he got nervous about how extended it looked in the 80s and stopped pressing, even though the price action never gave a reason to exit. The regret prompted an honest self-assessment — he needs a hybrid system that lets him hold winners longer, whether through stock, leveraged ETFs, or further-out options.

Tito shares examples where option premium provided an edge unavailable from price alone. During the GME meme cycle, puts were so expensive post-run that buying them was a bad trade even if the stock fell — the premium collapse would eat most of the move. Conversely, call debit spreads during GME uptrends offered extraordinary risk-reward because the skew was so extreme. On a separate occasion, SLV puts refused to fall even as the stock rose — the persistent bid hinted at a looming reversal, and within 15 minutes the top was in. The lesson: option premium can act as a leading indicator when it diverges from price action.

Tito describes an XLE trade from January 2025. XLE had been stuck in a 100-120 range for roughly four years, and after a selloff took it to the bottom of the range, the RSI was deeply oversold on the daily. Rather than buy calls and fight potential further downside, he sold put credit spreads — collecting premium while defining his max loss. He also bought January 2027 $50 calls at around $3 as a lottery-ticket overlay: if energy really ripped over the next two years, these deep-in-the-money LEAPs had asymmetric upside. The trade illustrates how options let you price out specific scenarios and build position structures that match your conviction level and time horizon.

In February 2025, Tito took his biggest loss of the year so far on MicroStrategy. The setup looked promising — a higher-timeframe wedge building, horizontal resistance at 340, and an inside day on Tuesday after a strong Monday. His plan was to buy the inside day breakout. His mistake: he entered cents before the trigger actually broke, anticipating the move rather than waiting for confirmation. MSTR never made a new high and became the high of the day. In hindsight, the SMAs were stacked to the downside — he was fighting overhead resistance — and Bitcoin was similarly weak. Anticipating the entry turned what should have been a missed trade into a real loss.

After the MSTR loss, the stock set up perfectly for the downside — a textbook breakdown that dropped 70 points in three days. Tito recognized the opportunity but was unable to size it properly because the recent memory of the loss was still fresh. He caught the move but with far less size than he should have. This reveals a hidden cost of big losses: they don't just hurt the P&L, they constrain your ability to take the next good trade. The emotional hangover is what makes cutting losses quickly so essential — every dollar you let a loser run is a dollar you won't have the conviction to redeploy on the next setup.

Tito discusses his path back from the MSTR loss. He traded Nvidia successfully on the recovery and found opportunities in SPX index options for diversification. More importantly, he had to pivot toward mean reversion as 2025's tape changed — stocks kept undercutting and reversing, making breakout buying unreliable. At heart he's a momentum buyer, but this year forced him to adapt: buying dips, selling into rips, and looking for failed breakdowns instead of breakouts. The shift was uncomfortable but necessary — market conditions dictate which edges work, and stubbornly sticking with one approach when the regime changes is a fast way to give back gains.

Tito reviews a loss in a biotech stock called Kira. The trade was going well until the FDA unexpectedly reversed its stance on the company's drug, causing a massive gap down. He was holding shares only at that point and took the hit. The loss was a reminder of biotech's binary risk — 'what biotech giveth, it shall taketh away.' He's been working on identifying which biotech names have tradeable setups versus which are pure gambles, studying examples like Christian Flanders' ABIVAX trade. The host admits he avoids biotech for the same reason, and Tito doesn't blame him — the sector requires a specialized edge.

Tito shares his daily recovery-score checklist — a real screenshot from his journal. Each day, he grades himself on: how he feels, whether he got enough sleep, what the main setup of the day is, his goals, and his risk amount. Crucially, the score is about process, not P&L — did he follow his rules, stick to his risk, avoid impulsive decisions? Within a few months of doing this daily, he noticed a meaningful reduction in mistakes. He internalized the practice and now separates how he feels about a trade from whether it made or lost money. The concept is adapted from Lance Breitstein's DRC (Daily Review Concept), which Tito credits as a major influence.

On weekends, Tito does a higher-level review that goes beyond individual trades. He asks: what types of trades have been working? Where are my stops relative to where they should be? What did I miss? The weekend review is more reflective — zooming out from the daily tactical feedback to assess whether his strategy is aligned with current market conditions. He flags setups he identified but didn't execute, because studying missed trades is as important as reviewing the ones he took. Patterns of hesitation often reveal where the process needs tightening or where a valid edge is being left on the table.

Throughout 2025, Tito had to pivot from his natural momentum-buyer identity toward mean reversion. Stocks kept making undercut lows and reversing — a regime where buying dips outperformed buying breakouts. This was psychologically difficult because it went against his wiring, but the data was clear: the market wasn't trending, it was chopping. He learned to look for setups where a stock reclaims a key level after undercutting it, signaling a failed breakdown rather than a continuation. The experience reinforced that no single style works in all environments — you adapt or you bleed.

Tito's closing advice begins with a practical recommendation: use AI tools like ChatGPT and Claude for rapid backtesting — they can process years of price data and give you a rough sense of a setup's statistical edge in minutes. Journal everything — not just entries and exits but the psychology: how you felt, what you were afraid of. The biggest inflection point in his development was realizing he wanted to be right more than he wanted to be profitable. Once he flipped that — prioritizing equity curve protection over proving his thesis correct — his results transformed.

"I wanted to be right more than I wanted to be profitable. And that was a big inflection point."

Not every style fits everybody — Tito urges traders to try different approaches in their first year or two, then commit to the one that matches their personality. Strategy hopping is a common trap. Study missed trades as diligently as the ones you took — patterns of inaction reveal as much as patterns of action. Most importantly, play the long game: Tito found the markets in his late 20s and expects to compound for 30 or 40 more years. What you make today, this week, or this month pales in comparison to where compounding can take you over decades. The real edge is staying in the game.