MTE-- I take your point. Of course, the distance from the money makes a huge difference in the return and also in the probability of loss. Most advisory services (and there are lots of them, some good, some not so good) try to set up IC's like the ones I described-- more than 1 Standard Deviation out of the money so that the probability of profit is over 80%, but the potential losses are much greater relative to the premiums generated.
The type you are doing are much closer to the money, and can be very profitable if you are right, but also lose far more frequently unless you are adjusting them out of the way, and usually accepting small losses doing that each time.
In real life, in my own situation, I have a moderate IC on with an"inside hedge" It is an interesting play, and plenty of different adjustments can be made to it. It may make me a lot of money, but it also may lose money. We'll see.
I just mentioned the usual type, because it is frequently employed, can be set up without watching it constantly, and works a high percentage of the time.
