Thanks for the feedback, much appreciated !
Selling a 49/48 bull put spread is a bullish position which does not fit my goal of hedging the underlying.
so, do suggest to add a long call or call bull spread will fix the issue ?. Also, I can sell the lower wing and buy a higher ATM PUT then sell...
I did not mention that I am trying to apply this strategy in combination with long underlying ( XLU ). Back to your question, If it breaks up...
I do not have any software for backtesting. Besides, if XLU stayed in range for 2 or 3 months, my P&L chart for long XLU and long leap XLU put is...
The trade will be Long 7 puts XLU Jan 2019 strike price $51 @$3.3 per contract Long 3 puts XLU Jan 2019 strike price $48 @ $1.9 per contract...
I was hoping to recoup the cost of the wings by selling monthly straddles. The lower leg should be paid off after the first trade month
How about combining this strategy with the underlying i.e long XLU as well as long calenderalized butterfly puts
1. Choose a low beta ETF such as XLU. 2. I am looking at 7X-10 X3 as opposed to 5x-10 X5 at or near the money long Put butterfly. 3. Buy the...
@darp I just came across a post you had in 2006 enquiring about ratio calendar backspread. Did you try it ? what is your experience so far?
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