optionsrules
Junior member
I only trade short strangles on them. Exactly on /CL contracts.
rsh01
Experienced member
what expiry out do you short? assume closish to expiry (weeks-2mths?) for max theta decay?
do you adjust/roll if price gets close to strike? or just close out?
optionsrules
Junior member
I am shorting them max 45 days out and if it gets close to one of the strikes, I adjust the position. Last time I had to adjust oil 7 times in 45 days but with all these adjustments I doubled the original max profit...
Would you consider automating this adjustment process and incorporating it into your Spreading logic??
optionsrules
Junior member
What do you mean by "spreading logic"?
Hi OptionsLogic,
I mean where the trader mentions:
I adjust the position. Last time I had to adjust oil 7 times in 45 days but with all these adjustments I doubled the original max profit.
We have traders scripting similar strategies so the manual adjustment can be automated. I guess I would need to know more about what determines how he/she adjusts this?
optionsrules
Junior member
Hi,
I would rather adjust them manually because I also look at the market conditions first. I do not like to automate it because it is a multiple dimensional game
take care,
Gery
I would rather adjust them manually because I also look at the market conditions first. I do not like to automate it because it is a multiple dimensional game
take care,
Gery
Hi,
I would rather adjust them manually because I also look at the market conditions first. I do not like to automate it because it is a multiple dimensional game
take care,
Gery
Cool, thanks Jerry. I'm at Actant should you wish to discuss any other ideas!