Hi room, Does anyone have experience with the following strategy: - Wait for the market/stock to be in an overbought situation: prices are spiking, vols are falling, etc... - Buy an otm strangle at the market open. The options should have a short expiration. A movement in the underlying should lead to a substantial percentage change in call or put, i.e. the options should have a high gearing. - Close the position before the market closes to limit time decay. Things to consider: - Rising prices go with falling vols. If you open the strangle when markets/stock is bullish, you buy at low vol. Should the market turn, i.e. fall, you will gain on the vol increase. - The strangle should be slightly delta positive. If the market continues to increase, the vol will fall. Hence, you should be slightly delta positive... What are you thoughts on this? Thanks!