ways to control short risk

[Baozi]

No i don't roll the hedge. De hedge stays in place during market selloffs.
I will roll the written puts to lower strikes. The will cost some money. When the market rises again a sell some hedges to pay for the lost roll money.

Very interesting.. I got 2 questions:

1) why don't you just sell some wings in the very moment you roll? Why waiting later?

2) in which ratio are you long wings vs the shorts?

 

[dorietrading]

Because when i roll i expect the market to go lower. Better to sell wings at the moment you see a change in market direction. But you can sell some wings in the moment you roll.
Most of the time i use ratio of 1 to 5.