Most impressive Matt, this will keep me going for so much longer
LOL. Looking forward to getting signals on these systems too. Any
idea of how many of them have future contracts?
I assume all do, those are major stocks and have futures
options are probably a good fit however, don't have to go out
too far as trades are short -term, 11 days is about the longest you
get with most in the 2 - 3 day range
Hi Pattellee, There are a few chaps here who are serious option
traders but my sixpense worth is that I will be buying 0.9 deltas
with 2 weeks to expiry. That way the 2-3 day period expected will
show the highest return. Also the 2 weeks would be safe from too
much theta(time) decay. However if later testing shows longer
average periods for the trades we may have to go out a bit further
in time. Obviously the best thing to do is sell calls (sell
signals) or puts when buy signals are given with one week of time
to run or even 4 weeks to gain more premium. This could be a
problem unless you have quite a large trading account. I am working
on my trading plan for all these considerations and would be happy
to share with you when done.
Most impressive Matt, this will
Those of you wanting more reversion to mean systems trades - the volatility systems will add a ton
Posted by mundy on 4th of Jun 2023 at 11:22 pm
Most impressive Matt, this will keep me going for so much longer LOL. Looking forward to getting signals on these systems too. Any idea of how many of them have future contracts?
I assume all do, those
Posted by matt on 4th of Jun 2023 at 11:24 pm
I assume all do, those are major stocks and have futures
options are probably a good fit however, don't have to go out too far as trades are short -term, 11 days is about the longest you get with most in the 2 - 3 day range
Would options about 2-3 weeks
Posted by patellee on 5th of Jun 2023 at 12:21 pm
Would options about 2-3 weeks out and a delta of about 64 still be appropriate here? What does the group think?
I am really looking forward to these trades. Thanks so much Matt.
Hi Pattellee, There are a
Posted by mundy on 5th of Jun 2023 at 08:48 pm
Hi Pattellee, There are a few chaps here who are serious option traders but my sixpense worth is that I will be buying 0.9 deltas with 2 weeks to expiry. That way the 2-3 day period expected will show the highest return. Also the 2 weeks would be safe from too much theta(time) decay. However if later testing shows longer average periods for the trades we may have to go out a bit further in time. Obviously the best thing to do is sell calls (sell signals) or puts when buy signals are given with one week of time to run or even 4 weeks to gain more premium. This could be a problem unless you have quite a large trading account. I am working on my trading plan for all these considerations and would be happy to share with you when done.
I went with the 0.64
Posted by patellee on 6th of Jun 2023 at 12:34 am
I went with the 0.64 deltas this round but I'll keep that in mind in the next round so a little less upside but ok with that in the beta stage.
seems logical - the longest
Posted by matt on 5th of Jun 2023 at 12:28 pm
seems logical - the longest trades seem to be around 2 weeks, most are 1 - 5 days at the moment
also - looks like SPY volatility system is looking to short today - which makes sense given the VIX closing back inside the bands
SPY - thus far today
Posted by steve on 5th of Jun 2023 at 12:36 pm
SPY - thus far today the entire candle has traded above its upper BB
AAPL too
Posted by timebandit on 5th of Jun 2023 at 12:50 pm
AAPL too