Trade Mechanics

• Enter new position every Monday, Wednesday, and Friday
• Target 80-45 DTE
  • Start at 80 DTE and keep using that same monthly cycle until it hits 45 DTE, then switch to the next monthly cycle at around 80 DTE
• Target credit around $1.25-1.50cr
  • This is usually around 5 Delta
• When IV is high, we get to sell farther OTM
• When IV is low, we have to sell closer ATM
• Ladder up to 20 positions maximum
• Trades come off on average after 30 DIT

Trade Entry

• Enter inside the 80-45 DTE cycle every Monday, Wednesday, Friday
  • Once it’s below 45 DTE, go to the next calendar month out (~80 DTE)
• Target credit around $1.25-1.50cr
  • Around 5 Delta

Trade Mechanics

• Take profit at 80%
• 3X Max Loss (4X initial credit Stop Loss)
• Take assignment and wheel out