50% returns selling options with max 50% drawdown per trade!

[destriero]

Outside strangle = inside strangle - strike width.

 

[nooby_mcnoob]

I also reinvented alphanumeric pagers once.

 

[taowave]

What was the return on that bad boy??

I also reinvented alphanumeric pagers once.

 

[nooby_mcnoob]

What was the return on that bad boy??

I got made fun of for about two weeks. But it lit a fire under one of my friends who went on to invent a bunch of shit.

 

[taowave]

So you got some good karma

Not sure how selling strangles gets you 50%....

I am not a code guy,so what excactly is your "move"...

By move ,I mean how do you adjust when you are wrong..

Are you a delta hedger,roller of options,hard stop or a que sera sera sort of trader?

 

[nooby_mcnoob]

Not sure how selling strangles gets you 50%....

After carefully reviewing bias that was likely present, it was closer to 19%

que sera sera

this one

 

[destriero]

I didn’t read anything, but was the system implying that the inside straddle returns more than the outside?

 

[nooby_mcnoob]

Found this article which jives which my (fixed) backtest https://www.projectoption.com/short-strangle-management/

 

[nooby_mcnoob]

I didn’t read anything, but was the system implying that the inside straddle returns more than the outside?

Just a quick glance at this seems to be true. You can look at the clusters in this CSV. In this case (ignore the "SPY" row), the trade is entered 7 days before expiry.

 

[nooby_mcnoob]

it's probably all wrong, just ignore this thread.