Pekelo, 45 DTE is the optimal time frame for opening trades according to tastytrade research. Their research also indicates that closing trades at 50% profits is optimal. So far, that research seems to be playing well in the experiment. I also close trades automatically after about 24 days in the trade, again tastytrade research.
Karen the Supertrader - TastyTrade Hybrid Experiment
- Thread starter Sweet Bobby
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Still forgetting Karen are we?
Correct me if I'm wrong Bobby but you are not trading this life? The reason I'm asking is because on your spreadsheet I've noticed some trades that would never get filled in life trading. For example the trade #187 short call that you covered on Nov 18 at $5. The ask price on that option on Nov 18 never got to $5. The same with other trades.
The experiment is a paper money account. I place GTC closing orders and report them as they are closed in TOS. Some of those trades you mention usually close during overnight action.
He got so defensive over a paper trading account?
This whole thing was not even real?
Well looks like your TOS paper account is giving you unrealistic prices. Check out the charts below. The first chart is 15 min and it is the bid-ask spread on those options on Nov 18 day and night session. You see the normal spread there plus the spikes which are the extreme spread widening that happens on futures options quite often every day. During moments like this you have 10 point bid-ask spread. The second chart is 1 min zoom. So, the normal prices that would be filled on Nov 18 were between $10.50 and $15.50, which is what's to be expected considering ES fluctuation on Nov 18. You would never get filled with your limit order at $5, because of the extreme spread widening only the bid was at $5. Just because the bid is at $5 does not mean you get filled because the ask is maybe 10 points higher, around $15. So, if the TOS is reporting a closed trade just because the bid is there, well it's an impossible fill in real life. I hope I make my explanation clear here.
The same problem with your trade #189
The same problem with your trade #191
The same problem with some random trade I checked you took in Oct and who knows how many more.
Bobby don't get me wrong I like your experiment, I test strategies all the time but the fills have to be realistic. I don't have the time to check all your trades and fills but I suspect there may be many impossible fills on your exits.
Lets put Karen aside for the moment.......
Bobby has been changing his strategy since the start. Which basically means that his "results" aren't even correct unless you are going to be changing the strategy from the original to what it is now during live trading.....
Which sounds stupid right?
That is my point exactly.
.
Looks like we are going to have to start this thread all over again. Perhaps Bobby isn't going to give away so many free shots this time.
Bobby has been changing his strategy since the start. Which basically means that his "results" aren't even correct unless you are going to be changing the strategy from the original to what it is now during live trading.....
Which sounds stupid right?
That is my point exactly.
.Looks like we are going to have to start this thread all over again. Perhaps Bobby isn't going to give away so many free shots this time.
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