Thx, just as was suspected by me... But: did you try it also by shortselling options of tickers with high ATM IVs? Like ATMIV > 200 ? But such...
Well basically you can't hedge a wheel strategy whether with an inverse etf or a protective put, the numbers just don't work...at least according...
Better stay away. I find 1.6% net profit per trade on options by far too low. It is all about execution and good fills. Otherwise that kind of...
hang on I'm going to run the numbers again rolling a weekly 80-90 delta put option.
F Santa! :) Can you give me a link about which wheel strategy you folks talk? Is this a good one?
...or something? Options aren't cost effective as a hedge for the wheel strategy because of the delta...I want 1:1. I don't think they would even...
Why go through all the hassle? Just take 100% of the premium by taking assignment and hedge it.
...part of a public experiment, I will trade a modified version of the Wheel Strategy and document the results here. Strategy parameters: - All...
...could work for building up a position. it seems similar to the "wheel" strategy. im also bumping across illiquidity issues. ie. the underlying...
...So here are the new results I get with hedging if I started the wheel strategy on DEC30 2022 ending DEC27 2023: Selling 1 weekly put 1 OTM...
When your donkey wheel stops bc your neighbor is feeding it the town's apple and lights out.
How are you defining return on CAPITAL... Are you talking margin? Whats your max drawdown?
Ok here the results if you ran the wheel strategy starting Dec.30 2022 - Dec.22 2023 selling 1 contract OTM weekly versus daily, taking all...
No, you are making premium in both directions, and you recover any realized losses with the ebb and flow. You are also making money when the stock...
Dude is relentless
In a wheel, are long the stock and short the call (ie short a synthetic put) or flat the stock and short a put. So you are always losing money...
In a bull market and non levered
...for a loss, and just taking the assignment. If you started the wheel on July 31 ($198), and then just held the position through the entire...
Is there any need to hedge if you just keep taking assignment of shares? If you ignore your break even when selling calls it would be no different...
Buy stock,buy put = synthetic long call..Thats not a box arb..Box Arb no longer exists,except for a few basis point here and there..If you sell...
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