Thetagang Strategies - r/thetagang on Reddit: Why is theta decay most effective 30.

This is the Dividend Capture Strategy. But it's extremely more capital efficient, as you only have to put up the capital you're risking, as opposed to the cost of 100. And a 30-delta call will give you 1,300 at 52,000. Buy 1 put at like 30 delta, sell 1 at 20 delta, and sell 2 at like 10 delta. Put on about 10 CSPs per month since, havent been assigned yet which I understand is quite lucky, I'm selling 20 delta 30-45 DTE, and keep 50% of margin in cash. Seems counterintuitive but I was still getting enough credit relative to. However, caution is advised, as selling options inherently carries risks. I usually reopen a new position the same day as I close, unless it's a very green. okay now do for GME, or AMC, or any of the archegos stocks that went down 50% in March, or COVID, or TAL or EDU that lost 80% overnight. when the long call has a super long DTE LEAP then we call it a PMCC (poor mans covered call, as it mimics having the shares and doing a normal covered call). This strategy focuses on options’ time decay and the premium that option sellers collect. Let's say stock XYZ is at 10$ at market open on Monday. Real thetagang strategy avoids high IV, earnings and large anticipated price moves. So sometimes, sure, I'll throw on a few vertical spreads. Some people are asking about it so not going to be able to post all my positions since this was a long time in the making but tl;dr switched from yolo calls/puts to a 100% theta gang strategy for about 1. 3K subscribers in the babytheta community. That is a valid strategy too, but for a small price drop, the commission cost might be higher if there is a possibility to close the position with stock, which has no commission. Conversely, short volatility is betting that the stock move will stay within the implied range, resulting in an overall decrease in options prices due to IV crush and theta decay. I love the old tastytrade videos from 2013 where they were first introducing the content. There are still thetagang strategies that will work well, PMCCs, credit spreads, and iron condors chiefly. Personally i prefer to use IV percentile or IV rank. So I wanted to sell a dar OTM put and call to collect the premium. From the trade above, I’ve locked in a profit it $950 (excluding brokerage fee) no matter what happens. That can be a pretty safe bet! For instance CRSR right now a Feb 19 ATM straddle $45 gets you $10. The ask for calls three weeks from now is 0. The only difference is the credit you receive. See all of your trades in one …. Priced Move: given the current option prices, how much in dollar amounts will the underlying have to move to make the call/put break even. Condors are for flat movements to collect premiums. Larger account: Primarily Tesla, yielding over 133%. Anchor your short positions at between 16 and 30 delta. View discover's THETA GANG profile and trading history. Need advice on this simple covered call strategy comments. With so many dining options available to consumers, it’s important for re. 16 delta is for delta neutral strategies. Get assigned and stock drops to 35. Although I do break these last two rules a lot. "However, the 759 iron condor positions that were opened outside of two hours after the open had an average return of 37%. always have an exit… whether alerts or stop loss depending. 50 and I'll close it, but right now, I'm getting 1. If you are doing it on a covered call, it becomes a collar. The Wheel is a strategy that surfaced on Reddit , but has been used by many in the past. Still waiting for RKT to hit 23 or at least 22. and hopefully get some move/time in my favor and then add the other side. wedge placemats for round table This post does not include financial advice. If I am doing spreads, then I try to …. I know this sub tends to favor a mechanical. TW gives you easily FULL option trading access (trading naked etc), you need to apply to the "the works" margin account, min. 25% or better for the RKT Covered Strangle counting both sides ($25 Assignment on Call Side, $22. I wanted to ask for opinions in regards to my current situation. It will fill after a few minutes, as the LIMIT order seeks the combination of costs to fill it. We are selling options to WSB degenerates using. Let's Talk About: Exchange Traded Financial Options -- Options Fundamentals -- The Greeks -- Strategies -- Current Plays and Ideas -- Q&A -- **New Traders**: See the Options Questions Safe Haven. Really a must read before trading. I recommend setting a stop-sell order after your stop-buy goes, that way you can dump the stock if it begins falling. I understand you have to deal with gap ups/downs but there is usually a retracement that would potentially let you close/manage the position at some point during the day with maybe breakeven or small gain. Receive social analytics and insights into the next meme stock direct to your inbox, sign up for our newsletter. This will give you a linear theta curve. Available cash is now $37,000 and my buying power is $74,000. All christmas till a day where nifty drops 3-4% and you will lose half your capital. What's up Theta Gang, I'm pretty new to options trading (only been doing it about a month and a half), but I'm wondering what you can expect to return per year using theta gang strategies. The average trade length was 10. ) I would like to hear your opinions, experiences and if you recommend a webinar that I could listen to so o can use this. Indices Commodities Currencies Stocks. Looks like a lot of buying power left over. So I explained that if the shares were $35 a share, I was still obligated to sell for $30. Useful in options where your max loss may be different from your cost. Are you an avid gamer looking to improve your skills in Temple Run? Look no further. I close CSPs at a 50% profit to open a new one as this avoids early assignment and gamma risks, plus keep trades moving as some can drag on to …. Discussion Title says it all, I’m thinking PLTR, RKT, and XPEV to load up on 100 shares each, and milk the premium We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 It feels so bizarre when I was thinking of placing a trade based on the strategy, because the strategy is almost literally the opposite of what I’m used to thinking and doing for the past two years (and my P/L the last two years has been shit). At my broker (etrade), margin requirement for ‘naked’ options on SPX is 20%. It's s good idea on companies with bad fundamentals especially with hard Times ahead. Theta starts to accelerate dramatically once it hits the 30-45 days mark and selling any further out than this generally means you are wasting time or that the Theta decay received is not profitable enough to justify the increased risk. An ATM call will bring in about 1,900 at 50,000. Human Resources | How To Get Your Free Hiring. You sell to open and pocket $500. Like any trading strategy there are different ways of running the strategy with different risks and rewards. Thus market makers will often exercise early when. 2nd best is just out (for a credit). It rarely makes sense to close one leg unless there's some specific strategy with the underlying. If you wanted slimmer margins, you could tighten the strikes together. Either way, bond ETF options offer excellent diversification from stocks. Hello Thetagang, I've been trading options since the beginning of the year, started with CSP and covered calls, and wheeling when possible. r/thetagang is, for better or worse, an echo chamber for "the wheel. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Daily r/thetagang Discussion Thread - What are your moves for today? Discussion Keep it friendly and civil; this is not WSB and automod will censor your posts at will for unsavory and unfriendly remarks. Since then I have been making good income on my 20k account. I have been doing 45-60DTE -+ 5~7% double Broken Wing Butterflies with more focus on harvesting theta decay difference between nearer 1x long and middle 2. Fortunately, there are a few strategies you can use to. The Wheel is a strategy that surfaced on Reddit, but has been used by many in the past. The spy/XSP 375/365 ps was around 1. In other words you want to straddle QQQ with 3x leverage. The monthly options I find are the best to run the wheel on with a March 26 30-delta pulling in around 4,000 on 45,000 or about 9%. com into something more suitable to the wheel strategy. with wheels, cash secured puts tie up a lot of capital but will at least leave you with shares if you're assigned. But experts say buying bonds is a good investment strategy now if you have cash on the sidelines. I usually go with a low IVR underlying where I have a view on direction. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Options Fundamentals -- The Greeks -- Strategies -- Current Plays and Ideas -- Q&A -- **New Traders**: See the Options Questions Safe Haven weekly thread Members Online. Everything stays fully invested in an overall 60/40 indexed portfolio with asset allocation between accounts based on tax. By far my most boring and most profitable strategy over the last 2. AMZN - weekly credit spreads 0DTE OTM less than 10 Delta has been an easy winner for the last 5 weeks. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online • You mentioned 'no naked strategies' so that prevents you from getting majorly screwed over, that's good. I’ll come right out and say it, I’m a newbie, so I don’t want to pretend and give stock picks. By definition, these puts are less than 50 Delta meaning as the stock increases the strategy will profit at a rate of <50% of the underlying movement (this decreases as the stock goes up more). So if you blindly do this on aapl this week, you collect $86 and close at $43. The poor man's covered calls actually proved to work well, but the put credit spreads just keep drilling me. While the more prudent traders allow for margin requirements to double, they mistakenly look at maintenancr margin and not at initial margin. When closing a position, they generally need this to fill ASAP as well. A 110% total return over 5 years. What are bearish thetagang strategies? 🐻. Focus on a core competency of trading strategies, gain experience in …. After months of looking video about all theta gang strategies, I decides to start with the wheel. Fortunately, there are several strategies you can employ to maximiz. Tesla Daily is the seriously the best stock analysis YouTube channel I’ve seen. That’s pretty much the strategy. There isn't a time of day where theta is faster or slower. AMC is not for the faint of heart. All thetagang strategies are short term trading activities and will be taxed as such. This is why I think both sides are gamblers and you should just enjoy playing like you would any other. Give it some time and learn more about it. damien haas shirtless each days price action should dictate strategy. If your put is over 50% max profit, with this much time to exp, you should roll it up to match the call's delta. Hold my ITM CSP longer and hope that the price recovers. Rolling: If one side’s short leg gets tested, check if untested short leg delta is <50% of short leg delta of tested side. To me it seems like there are really 3 main options. After getting cleaned out from buying options I read a lot of the advice in here and learned how to effectively switch sides and sell options. I don’t think AMC will go under $6 a share in the near term. Could a Groupon dating strategy help? Or is that just tacky? One man tested it out. those are all "1-in a million" events, all. Just have to find a stock where the price. Im selling lots of contracts i …. i like to stay flexible and limit my risk. Yes, thetagang strategies work! As others have suggested, start with looking at the wheel strategy and find something you know and that is volatile. It's what sold me on thetagang strategies to begin with. Its simply a way to go long on a stock Naked puts and even credit spreads make way more without ever having to be assigned. This seems like a bad idea since if the price does climb back up the IV is going to climb as well and keep the contract price high and reduce my exit window time to the last few days of the option. 15, you'll only see a few dollars in profit, bc max profit is $15. It's not easy, but it is simple: earn more, spend less, and use the. Options strategies work best on non-etf stock, otherwise you could just buy LETFs and make more unless you have alpha. The wheel is NOT a bullish strategy and that is why you think it under performs buy and hold. I would appreciate hearing about the criteria you consider when selecting stocks or ETFs for this strategy. These 3 strategies are all you need IMO. Strategy Hypothesis: Applying a combination of tastylive research and the momentum factor can achieve the goals defined above. Theta Gang Strategy #1: Call credit spread. pomchi puppies for sale in nc We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Three months ago discovered thetagang, made a practice account to learn how to wheel Only wheeling one company which is Sofi going to continue to do the same thing 2024 and deposit more funds. Tax Lot Implications on Theta Gang Strategies. The item must be returned in new and unused condition. When you have the condor, that offers you upside and downside protection versus a strangle or single OTM option. We are selling options to WSB degenerates using #thetagang strategies! 🐌 🐌 🐌. Roll the long LEAPS up as needed so they stay at the top end of the underlying's trading range or slightly beyond it. It is an options strategy - you need to collect premium to make money. Unlikely but annoying if you are selling on a high IV stock. Any number of strategies will backtest better than the boglehead strategy, that’s not the point of it. There's even a video on YouTube about a variant of the wheel called vertical wheel which involves selling spreads instead of CSPs and CCs. Market Capitalization and Theta Gang Strategies. But it has very high IV and seems to have stabilized a bit after their recent reverse split and new share issuance. Though I think I remember that tos has since added small futures. If you have a lot of time left and you got premium of 50% or more, you can close it. forza horizon 5 fine tuned Hi guys, I am new to theta gang and not gambling naked calls/puts anymore. GitHub is where people build software. 215K subscribers in the thetagang community. If you don’t know what time decay is, it’s basically the underlying principle that dictates that If all other variables are constant, an option will lose value as time draws closer to its maturity. So you need to put up the margin requirement for 3350 x 100 = 335,000. Nobody's responded to this post yet. It’s not meant to outperform buy and hold. We are selling options to WSB degenerates using thetagang strategies! I know that some traders tend to stick to a handful of strategies they are keen on and ‘trained’ to spot. 13 Month Wheel Update 300k Account. I have a dream, that one day, I see my savings rate as a percentage for. The strategy is long term so I can take a small hit at the beginning and keep selling calls and reinvest until we see better market conditions (but I agree this is not the optimal scenario) Last argument is, the prices on S&P are starting to be interesting for me, and good enough for me to start allocating cash. Very empirical with minimal hype and no BS. Among Us has taken the gaming world by storm, captivating players with its thrilling multiplayer experience. Does your company need a boost in its bottom line? If so, perhaps it’s time to review the sales strategy you’re using. An idiot's attempt at Gamma Scalping - help me understand why this isn't sustainable. Little more favorable on r/options. Sell puts when your underlying drops 25% your underlying should be a large cap eg AMZN , AAPL. Larger account is easier because you would have more underlying choices. This community is devoted to the teaching of strategies, trades, resources and lifestyle that help traders become consistently profitable. It's a macro view of the strategies for short and long term use of the approach. Hey guys, so I started learning from TastyTrade awhile back and gave up mostly because a lot of their strategies (at least the ones I went over) involved buying 100 shares and such, which I definitely don’t have the money for. Iron Condors or Calendars are some examples. That was the original purpose of putsto protect against downside. Another strategy to avoid IV crush is to use options with lower implied volatility, with expirations further out, two weeks or more after the release. If you do it on a bare stock, it is called a protective put. Here's an example: SPY May 20th 414 long put/420 short put/2 x 486 short call/2 x 489 long call. It depends on your theta gang strategy. Jan 16, 2024 · One strategy that has gained popularity among traders is the “theta gang” style of trading. After further research I decided that this strategy is a sound one if you keep true to your strategy. If you are ready, select all legs and place as a single LIMIT order= Iron Condor. They're going to be a part of your strategy if you …. Covered Calls Strategies As the title suggests I am looking for strategies to maximize profit from selling covered calls. Find a company today! Development Most Popular Emerging Tech Devel. If you are a beginner, selling strangles without hedges is suicide. Supports Short Puts, Short Calls, or any combination thereof. This isn't a theta play at all, it's just a method to reduce the buy in price of the underlying. If it rebounds back, you can roll the entire thing up for a credit. I spent the better part of this week changing the option tracker sheet from twoinvesting. There is an absolute "No Troll" policy - this sub is an environment where traders can learn and help each other. These put options offer the highest ratio of bearish premium paid (IV) relative to historical volatility (HV). Sometimes rolling for a debit to beneficially adjust things can be the better option than rolling for a credit but having a worse position. These guys do use shares to adjust their delta risk, but they are still making money from extrinsic value they collected at trade entry. In fact, there is even a website! Want to know my answer to “what is theta gang”? I’d call it a group of people who finally discovered that the stock market is not a casino. Adjust the legs to fit your personal risk vs reward, e. Place a buy limit order of 100 * x asset shares at s1. Worst case is that the stock expires under $7 and I only keep the. I employ different strategies at different times. If I were you I would spend some effort on actually learning about options, options strategies, and how to implement options selling strategies. If you are do not have any idea what I am talking about, you should first read up on the basics of options. bella poarch navy seal An out-of-the-money call option is sold, and another more out-of-the-money call option is brought to hedge against a strong upside move. So that’s why I’m thinking this specific underlying might merit a slightly different treatment than the usual covered call play. They realized that you actually need some sort of edge to be successful. ITM calls, for example, are synthetically equivalent to 100 shares of long stock + a protective put at the strike or your call. polaris sportsman 570 diagnostic codes How do you adjust your trading strategy for a low-VIX environment? Looking at the VIX index, it has had extended periods at very low levels. I realize VTI doesn't have the best options chain for various reasons, but this is what I. CSPs as a theta gang strategy also means that you are absolutely willing to get assigned these shares and hold them while you sell CCs against them. Finding one online is next to impossible. Lost 30% of my portfolio (USD 25k) with the recent decline in market. com to journal individual options trades and my own financial spreadsheet to track everything (stocks, mutual funds, dividends, premium sold/bought, interest, etc. I'm in the green, so now it's fun. I have PM in my brokerage account and also a Roth and tIRA. 208K subscribers in the thetagang community. I checked the profit/loss on the way up, and it’s very similar to buying 100 shares (1. I only trade iron condors for 1-2 weeks depending on factors. Nov 23, 2023 · The theta gang strategy is an advanced trading tactic that capitalises on the time-value decay of option contracts. 57% ROI weekly or monthly makes a lot more sense then 5-10% a year. In today’s digital age, having a strong content marketing strategy is crucial for the success of any business. Combining Trend Signals with Delta-Biased Short Strangles. It feels like the profit loss. hot shot secret near me Go to thetagang r/thetagang My friend, who I've prescribed this strategy to, is 100% with SPY PCS this year last year. The second half of the basic Theta Gang strategy: the Cash Covered Put. Also the expirations of DEC usually experience a big drop in IV. That same trade would only account for 15% of your account. You can win or lose, while different strategies may work better or worse in different market environments and volatility. craigslist pottstown pa Lets say you happened to own 100 shares in SPY/$32,654 worth of SPY, and wanted to sell an OTM covered call on your shares with an expiration date of about three weeks from now on November 20. Small account friendly (< 20k) Mechanical rules based (No discretion!) Based on Quantitative research. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online • epps. The major index ETFs are great for trading, but they currently have the lowest IVR I can recall seeing. What are some strategies I can lift the profit to 0. My general understanding of a collar is that it’s used to protect gains. Mornings are the best times at California Adventure to see popular attractions because lines are shorter and the California sun isn’t quite so hot. I think if I was going for highest returns, I'd sell credit spreads on volatile stocks. Here are the 4 popular theta gang strategies I’ll cover [Click to Skip Ahead]: Put Credit Spread; Call Credit Spread; Naked Puts / “The Wheel” Short Iron Condor; The first two theta strategies are great for Beginners and seasoned traders alike because your max loss is limited and you know exactly what that max loss would be. 05 and the August 100/115ps for $1. PS: Although I am still on Robinhood and it is frowned upon, the main thing I learned from the January fiaso is to be decentralized in my brokerages. com, persuasive strategies are techniques that a person uses to influence another person or group of people to take a certain action. 40K views 1 year ago Theta Gang Strategies. 212K subscribers in the thetagang community. Wheeling an ETF is the safest as it’s even less likely to go to zero before expiration. Enter: thetagang - so I've set aside $2. roll the long strike down (creates a debit), roll the short strikes (down and/or out, creates a credit). Its conclusion was save more, live frugal, buy s&p500 index and hold, surprise everyone when they inherit millions after your die living in a hut in Sheboygan. For the sake of simplicity, I stuck with emulating long straddles to keep the gamma direction straight in my head. IMO the best beginner strategies are covered calls and the wheel. My basis on stock is around $105. SPX, 45 dte, manage/close at 21dte. Common Theta Gang strategies focus on lower risk profile option selling strategies that have hedges for capped risk. I will also be switching to the wheel strategy when I have enough capital. Laying low rest of 2023 unless an opportunity arises, not killing this environment for selling puts…. Total risk on trade is $400 for $100 credit. I took a course and first learned to trade futures and was taught a lot of advance strategies. Remember, while these events provide opportunities, they also carry significant risks, particularly for strategies like naked options selling which can have unlimited downside. If the stock is the same price, the theta eats away @ the $72 premium more than the $15 premium. 18 contracts could have wrecked you. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Engage in insightful discussions on topics such as selling tips, marketing strategies, SEO optimization, product selection, checkout processes, conversions, and more. It was working like a charm while the IVR was below 15ish. Theta is most effective starting at 45-30 DTE because theta decay is and exponential decay curve. I figured out this strategy and implemented it for the first time right after the March 2020 crash and have been blessed with endless bullishness in the market since then, so don't expect the. Iron condor has 7 charisma and 9 health, but only 4 dexterity. You said that you want a strategy that will provide 8% beyond this MMF return = $8,000 a year, or $667 a month. Like 4chan found a Bloomberg Terminal. The odds are usually even vs the price you pay, as otherwise either a buyer or seller would have an advantage. Selling OTM puts is bullish and you wouldn't do it if you thought the price of the underlying would go down. glocky video The information systems strategy triangle includes business, organization and information strategy, and it symbolizes how a company must align all three of these strategies togethe. I see spreads and other strategies that involve spreads (iron condors, etc) mentioned here quite often, but are they really considered a thetagang strategy? The net theta of a credit or debit spread is pretty close to 0, since the positive theta of the short leg is almost entirely canceled out by the negative theta of the long leg. You do realize that their options are priced with high implied volatility for a good reason. Let's say strangles, for example. Theta Gang Strategy #2: Writing Cash-Covered Put Options. The lowest it went was 665, so (705-665)×18×100 = -72,000. Most days, the move is within 1 standard deviation and the r/R looks pretty good. Over two-thirds (67%) of these positions expired. You'll need years to get back to 20k, so either you are ok being slow and disciplined, or you will need different trading strategies that have a positive convexity (e. Rather than blindly following thetagang strategies, I believe more people should think of options as a way of managing risk. Iron butterflies could also be somewhat good strategies but again that's just me. I decided explore two examples, one directional and one delta-neutral. For instance, why not just implement thetagang on some …. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 This community is devoted to the teaching of strategies, trades, resources and lifestyle that help traders become consistently profitable. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 ADMIN MOD I'm looking for a thetagang discord or other community to learn from and be apart of. The wheel stragegy is not selling leveraged far OTM natural gas calls, but there is still the principle of a single strategy, repeated again and again, because it is working in a particular climate. wake up america newsmax hosts EWZ, JETS, FXI, EWW, EEM, SLV, X, OXY, GPS, MRVL, CLOV, AAL. Collect more premium to increase your theta. Business, Economics, and Finance. So winrate about ~85%+, average ROI of about 15%. I'm curious to know if any of you have a separate portfolio specifically dedicated to Thetagang strategies. Browse our rankings to partner with award-winning experts that will bring your vision to life. The back-of-the-napkin theta calculation is to look at the premium you received and divide it by the DTE. Offhand, according to tastytrade, the SPX:VIX price change ratio is -15:1 - for every 15pt drop in SPX VIX rises by 1. With credit spreads, your long will decay faster than your short. I have mid 5 figures saved up in my brokerage account and want to learn about my options. The additional 1-Lot of long stock is your upside above the Put Diagonal, and the Call + Put Spread hedge to the downside. (Take 8 times to make my money back) Same call expiring on the 1st will give me a premium of $23 dollars per contract. Your strategy makes sense with them when interest rates are neutral or declining. You would sell a call out of the money to pay for the long put and net 0 cost for the put. 5k precisely to test my mettle in thetagang strategies. Now if nothing changes by the time you. Symbol, Date open, date closed, days held, type [CC or CSP], Info [ 24 Apr 20 $15 C], capital used, premium received to open, fee, premium paid to close, fee, profit, profit %, annualized [for fun], notes. Selling tickets online can be a great way to reach a larger audience and increase sales. 5 Calls an expiration of the 26th will give me a premium of $18. Theta actually decays pretty rapidly from 60-90 DTE for the lower deltas. I set the stop loss only on the short leg but not on the whole spread. Stop loss set to 2x of the credits I received for the short leg. If you aren’t buying crap stocks the realistic return is. You trade the wheel to collect the vol premium imbedded in options. Theta Gang, The Wheel Strategy – FAQ – Stonks Blog (swaggystocks. A poor mans covered call or put is a diagonal spread that has the slang of pmcc or pmcp. Covered call, cash-secured put, wheeling will tie up too much capital for a small account size. Grats on finding what works for you, my aggressive high risk theta strategies is buying shares of a high IV stock and selling ATM calls for the juicy premiums Ex sndl sold 33 covered calls for 0. It was easier and a bit cheaper to do thetagang strategies there. Along the way, you tweak your plan and strategy to overcome all the unexpected problems. A collar option strategy, also referred to as a hedge wrapper or simply collar, is an option strategy employed to reduce both positive and negative returns of an underlying asset. It leverages the power of cash-covered put and covered ca. A very popular “Theta Gang” strategy is to close any positions once they reach 50% profits, and never close at expiration. Usually those contracts get exercised against me, so I realize 14-21 days of theta profits in 7 days. Not quite the collection of blue chip stocks there, my friend. This is an exception to the rule of not trading really low deltas. x short (called body of the butterfly). How do you get ahead of their judgemen. The "thetagang approach" is an extremely unsophisticated[1] option selling strategy even in the realm of retail trading. What strategy is better? Iron condor or wheel? Short Strangles. Another idea is I can wheel an index and buy deep itm tqqq and dtm itm uvxy calls. A highly successful strategy of any sort (regardless of theta gang or not) will yield roughly 30%/yr while most common is within the market average of 10% - 15%. Net delta is 84, with downside protection until more than 6% loss, infinite upside after 3% gain in the underlying. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online • Able-FI-4906. You could sellputsthencalls versus SPY, currently at $510. Option plays for Tesla earnings (TSLA) and beyond After they put out their sales disaster we were pretty bearish and suggested 2 trades, the July 140/150/160 put fly for 95 cents …. 0-1 DTE entry points are gimmicky trades that make for a great thought exercise and fun reddit posts, even an occasional real trade, but its not reliable or sustainable as a full time strategy. There are no ads on this website! THETA GANG is 100% funded by users that help contribute from Patreon. You may get lucky and get 100 shares of a $2. The wheel is not meant to be a delta play, it is really a short volatility strategy which benefits from theta (as all short vol strategies do). Amzn will touch 80 and 120 in the next 3 years. I was thinking to try 15-20 delta @ 30 DTE and manage closer to expiration. Strategies to manage deep ITM covered call. One strategy that has gained popularity among traders is the “theta gang” style of trading. Doesn’t matter your strategy risk management and controlling emotions is key. Starting to pick up strategy as it seems based on price action and trend. You don't need to learn ten strategies. For a bearish thesis selling call credit spreads is a strategy to consider as naked calls have significant risk and require high level accounts. I wheel PLTR, but she doesn’t care about the strategy beyond understanding the basics. I am accepted level 2 options trading strategies. EDIT: My brain totally skipped the whole Roth IRA part. There is a list that changes and they randomly assign you one of them. Like any delta neutral strategy it’s only delta neutral while the price doesn’t move much. I'm going to have to go look it up. ) From this perspective, this strategy is not much different from B&H just that it. The average cost per share is about 200$. If you sell a $500 put, that’s 0. Instead of just waiting for a good high IV environment, what are good strategies for these low IV times? Just Wheeling? Credit Put Spreads? What does Thetagang say?. My strategy is what you get when you do an 80/20 analysis on all available strategies and jumble together the 20%s into something that functions. It not only shows the wheel doing worse on multiple backtests vs buy and hold, it also shows that the 50% max profit exit strategy (popular on this subreddit) is worse than hold until expiration. I’ve been making a fortune selling ~10 delta put credit spreads with 100 point width on the SPX. Yes, there is no issue in letting SPX options (long or short) expire. This bot implements a slightly modified version of The Wheel, with my own. ThetaGang is an IBKR trading bot for collecting premium by selling options using "The Wheel" strategy. These options are priced expecting the underlying to move down significantly more than it has moved down in …. But then this strategy tends to lag compared to a simple buy-and hold and also shares no upside in recoveries of the underlying. 23 per day in the best scenario. chevy g20 grill They embark on directional trades like Verticals… but there is a new world to explore when trading Delta Neutral strategies. ADMIN MOD Is there a site/app where you can input how much cash you have, desired strategies, delta, DTE etc. 194K subscribers in the thetagang community. Short straddles benefit from the underlying stock not moving and volatility decreasing. In this article, we will guide you through some essential strategies and tips that will. Wheel Strategy vs Vertical Spreads. Midas’ mission is to bridge the ease of CeFi with the transparency of DeFi strategies, fueled by algorithmic infrastructures and 24/7 portfolio monitoring. Example: 110/100 credit call spread that you received 200 credit for. This strategy gains it’s popularity from the fact that you can generate a steady income no matter which way the stock moves. I’m not seeing much discussion or love for calendar spreads here (the strict definition where you sell a call for shorter timeframe and buy call for longer time frame at same strike). Sell 3 contracts of the SPY, $485 put, of 5/17/24 (a monthly expiration), receiving a $2. Same $1000 of capital, same over/under line, but a higher premium on SPX, plus the better tax advantage. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members I'm interested in employing some bearish strategies because there are few underlyings right now with bullish signals, and I don't want to sell too many CSP's on the few bullish underlyings. So thats $850 to $1100 max profit per condor. I'd say $3000 is about bare minimum you should have if you want to get started on the wheel, but again with $1000 you could pull off a PMCC on some stocks. So if you sell a put at $40, collect $1. Calendar spreads, the unsung hero. I run about 15-17 tickers at a time and will usually close the position with 90% gain. I just learned about the ZEBRA strategy (buy two 0. 45, your profit at expiration is $345. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online • [deleted] My trading strategy is to sell short calls against leaps and shares, and avoid assignment as long as I want to continue holding the stock. The idea of using slow and consistent theta strategies, using the premium received to buy & build a portfolio of indexes and blue-chips is still a relevant concept over the long-term. Take gains and long them into index funds or your favorite stocks. Build cash position to increase wheel contracts. You could also implement this strategy on QQQ but I would only sell if QQQ has a + or - 1. A simple thetagang strategy, target to gain 40% in 2024. 11% of the time, it closed otm but moved itm after hours. Find a strategy you like and backtest it using backtesting software. Reddit r/ThetaGang was interested in the Wheel Options Strategy tracker I posted yesterday so I went ahead and made a video explaining the various columns an. The put selling strategy of using Deep In The Money Puts is a highly profitable strategy to use in bull markets. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Members Online • Glittering-Cicada574. Get Fast, Free Shipping with Amazon Prime. I do them on SPX and don't talk about it here "BECAUSE WHAT ABOUT MAX LOSS". One key aspect of this strategy is the creation of a Digital Experien. Having big gaps on your resume can feel embarrassing—you know the person reading it will take note, and probably will consider it a negative. 25% of your total average theta is a good goal. For example, the 70 year average S&P 500 real return (since 1950) is about 7. For running legit ThetaGang strategies, QQQ and IWM looks like better choices because higher vega, no?. You also collect premium from both sides like a strangle rather than 1 side with a single OTM option. Thank you thetagang! 2x in less than a year. Naked puts/calls/strangles (strangles are my fav) on margin is where the actual money is. Even if your calls are lower than your puts, the net profit/loss includes the credits from both the put and the call. The low probability has positive expectancy and high probability negative is generally false without further specifying the trades. Def Need column for current cost basis. Try to keep shit posting and bragging to a minimum. I have a google sheets I recently started for the wheel. assuming you performed an equivalent number of trades of each strategy)? Theta strategies such as spreads, PMCC, cash secured puts, naked calls, short straddles/strangles, diagonals, calendars, shorting IV on earnings/events, etc. Given that most people here came from buying options first and fell back onto this, they probably do not have alpha or enough to make options investing on etfs better than LETFs, so instead of wheeling VOO/SPY try buying UPRO. 220K subscribers in the thetagang community. Philadelphia 76ers Premier League UFC. Roll my expiration date forward by 39 days for a credit of 1. They have increasingly discovered that technol. Any type of option selling is theta gang. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌. Hypothetically, what would be the risk of doing the following: Sell x deep OTM call options with a strike price of s1 (asset price + 10%). This should allow for an additional 1 or 2 contracts a month to start compounding returns. Which tax lot is the most advantageous when running this type of strategy?(Fifo/Lifo/Avg Cost etc). The whole video is about managing at 50% but that slide alone speaks volumes. Assemble a party of champions and master the art of Formation Strategy. free foreclosure listings columbia sc After trying to grasp gamma scalping to keep a delta-neutral portfolio for a few weeks, I decided to put pen to paper to see how it works out. If the same price movement occurs on the underlying, the $12c 3/19/21 @ $0. They pretty much are all shitty penny stocks. I sold a 6/16 META 140 call a while back. Sep 23, 2020 · Theta Gang Option Strategies. I'm probably going to focus on spreads, wheels, iron condors and maybe a few other strategies here and there. So what are these magical theta gang strategies that they use? Join our Theta Gang Discord Now!. Did some research and was looking at selling both at 1 standard deviation. Calendar spreads are generally long vega (benefit from rise in IV) so running them on high IVR stocks is prone to loss. When people say it kicks in the final month, they only ever show the decay graph of a 50 delta option like I just described. An alternative is to do diagonals anchored by a deep ITM call or put that is several months out and then sell weeklies or monthlies against it. Covered call writing means you sell covered …. 00 debit, you are still profitable on the position. But poorly executed options strategies don’t just apply to the wheel, they apply to all trading strategies. " Picking the right securities to implement a thetagang strategy on is pretty vital. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 But if we're talking what is the most cost efficient strategy for credit, yeah, I'll agree Iron Condor's are not the winners there. No massive risk or anything, just the settlement price will not be determined until. It is a game that combines elements of luck and strategy, making it both. I was wondering what specific strategies ya'll employ to find theta plays. They can clog up your inbox, making it difficult to find important emails. We are selling options to WSB …. Some commenters requested examples specific to r/thetagang strategies. Source: spent 25% of capital on 1 trade. It's about being in the game or not. In one trade I aim for 5-10% profit of buying collateral, once it hits always take it. PYPL, sell puts at $70, then if it goes that low be happy to own it at that price. Have been through the wiki a few times now and am wondering if most traders here are selling options against large cap, mid cap, or small cap stocks. Sell x deep OTM put options with a strike price of s2 (asset price - 10%). It limits the return of the portfolio to a specified range and can hedge a …. Spreads $5, $10 wide sometimes up to $20 in liquid options market. Now you may believe that the model used is incorrect and/or one or more inputs to the model is incorrect. View major's THETA GANG profile and trading history. For OP, I typically just do spreads. Discover the best digital strategy consultants in London. I’ve had some large successes with them. Calendar spreads or ratio spreads are preferable to me, I'm really not very directional in my trading. Anything that profits from the stock market moving to the right is a theta play, so basically any short option and some spreads. Of course the further out you go the higher premiums you will bring in. I'd be curious if anybody's done real mathematical studies on the 50% profit close strategy and its limitations. Doesn’t trade as often but keeps it higher probability. Problem with the wheel like you said is that you can lose a lot when selling your put, if you sell a put for $14 strike on XYZ, and XYZ tanks to $5 a share, you're going to have to …. I bought on Friday a Put SPX Calendar @4760 Sold. The moment to be long or short is before the earnings report, not after it. Wheel of Fortune is one of the most popular game shows on television, and it’s easy to see why. john perry sculpture value Did it on a $9 BB in April, closed for +$10 itm then rolled out 2 weeks to the $8. Your long strike in the spread defines your max risk amount ($3, $5, etc). When one side is tested, roll the other to the same …. For example, looking at pricing right now, but/write at the $240 strike nets you $13. These require trading on good stocks, but this shows how to sell options and are easy to roll if needed. I plan on maxing out the contribution before …. 35% of the time, and an additional 1. The truth is, it doesn't matter. Easily see if your positions are at. If I lose it I'll be dead is a great reason to not trade options. Thetagang Proverbs We Have All Forgotten: The Wheel is for preserving wealth NOT building it (buy/hold outperforms) Use it as a tactic to learn the mechanics then either get comfortable with margin or realize you are like 99% of humans who are better off with …. The edge for calendar spreads is to ensure the term structure (volatility % of the short leg minus volatility % of the long leg) is 2% higher than the usual relationship, then you take profit from the trade between 15-20% roi. Same thing for call but flip it where your mother is selling the option to you. If you can turn over 2-3% once a month, you. The Kiss of Death: Posting My Near End of the Year Returns. A few of us have recently learned that short strangles are a bad strategy in low IV environments. Edit: For those like me A collar option strategy, also referred to as a hedge wrapper or simply collar, is an option strategy employed to reduce both positive and negative returns of an underlying asset. #the-wheel #options #robinhoodThe Wheel is a winner's strategy for building wealth trading options. hoover crip hat Several thetagang members have asked how I pick the right trading strategy. I was thinking otm puts and calls but if the stock stays the same I can’t be hedge. Was up almost 14% in 3 months which is phenomenal imo. If the stock moves downwards and you sold a $12c 2/05/21 @ $0. Taking an online class can be a great way to further your education or develop new skills, but it also requires discipline and effective strategies to ensure success. Hey guys, I built this "options selling backtest" report and wanted to share it. I mostly do CSP, CCs, and Short Strangles. Calendars work on boring stocks like T and IBM. You might be able to hold your positions through market volatility, but if your options expire you won't be able to open new ones. It allows you to group option trades of the same underlying and calculates average price per share on assigned shares. Tip #3 → Diversify Your Strategy. Prolong Downtrends and Drawdowns - if there is a prolonged downtrend than this strategy would take losses similar to a buy-and-hold strategy, but it will be higher due to the leveraged nature. We are selling options to WSB degenerates using thetagang strategies! 🐌 🐌 🐌 Feel free to post any news, questions, budget strategies, tips & tricks and advice related to YNAB. Albeit some exceptions such as possibly now when the certain blue-chips are incredibly expensive, the theory still stands. You are going to lose some, but as long as you win a decent amount you will make money.