Day trading 0DTE Condors

Discussion in 'Options' started by qlai, Feb 4, 2024.

  1. Quanto

    Quanto

    Hi, are you the programmer of it?
    What is meant by its title "Build Your Own Backtest (BYOB)" ?
    Can you give some examples on what the user can do with it?
    Which strategies are possible to test?
    Is it for 0DTE only?
     
    #61     Feb 16, 2024
  2. cesfx

    cesfx

    #62     Feb 16, 2024
  3. No, i'm not the programmer. Regarding your other questions, please have a good look at the site, you can figure it out..
     
    #63     Feb 17, 2024
    Quanto likes this.
  4. In general, any stop assumptions (especially when trading options) are very tricky. If you run the same strategy with no stops, your results are going to be way worse as well as assume that slippage gets way worse when you're stopped out. Not saying that it's not viable, just saying that it's not a holy grail
     
    Last edited: Feb 17, 2024
    #64     Feb 17, 2024
  5. Sure, they are tricky. But since start the realtime results match The backtest results.
     
    #65     Feb 17, 2024
  6. How often do you get stopped out? The stop fills will really matter when the shit hits the fan and we have not had a true meltdown for a while
     
    #66     Feb 17, 2024
  7. Please look at the spx option prices in the feb/march 2020 period in the 1 to 3 dollar range. There were no big gaps so stops should be filled near stoploss.
     
    #67     Feb 17, 2024
  8. Was the strategy live at the time? There were some pretty shaky closes that I remember and liquidity was pretty hard to find
     
    #68     Feb 17, 2024
  9. Zwaen

    Zwaen

    Isn’t it kind of “odd” that the manual exit is based on an external variable rather than something of the underlying? I mean, normally you could base an exit - somewhere between the spread and based on a solistic view of the trade - on e.g. some sort of optimized but robust point on a pdf curve. To me this exit seems a bit arbitrary? It does help in simplicity and defining losses though.
     
    #69     Feb 17, 2024
  10. you can find the trades in the backtest but you can always choose not to trade when vix is eg above 30
     
    Last edited: Feb 18, 2024
    #70     Feb 18, 2024