I have some trading buddies that are big on trading a "balanced" portfolio of options. What they do is they want to keep say 4 puts in weak stocks and 4 calls in strong stocks. When they actually have an opinion about the market direction perhaps they will goose one side by adding more puts or calls but generally they are "balanced". When the market goes a direction they profit on the (say the market went down) the puts in this case and lose on the calls. I ask them if they are trading delta-neutral and they say no. I don't completely understand this style of trading. How does one profit from it if you have both calls and puts especially when options tend to fall more than they rise on most moves? Can someone explain more about this style of trading -- what it's based on and more about how it works? All thoughts are appreciated.