/ES — Version 1.0
1. BEFORE ENTRY
Weekly opportunity: qualifying 1%+ RTH pullback OR Wednesday review.
One new campaign per week — not a limit on campaigns already open.
Choose the best qualifying tier:
Tier 1: 45–75 DTE / $800+ Net Opening Credit.
Tier 2: 76–120 DTE / $1,000+ Net Opening Credit.
Tier 3: 121–180 DTE / $1,300+ Net Opening Credit.
Preferred net theta per /ES: Tier 1 35+ / Tier 2 30+ / Tier 3 25+.
2. HARD ENTRY GATES
Complete-position POP ≥98% in Tastytrade. POP is a model estimate, not a guarantee.
Correct DTE tier.
Tier minimum Net Opening Credit.
Maintenance Excess, BP, and SPAN acceptable.
Portfolio stress acceptable.
Liquidity/execution acceptable.
Account-level risk kill switch: if the portfolio cannot be safely carried under stress, DO NOT ADD RISK.
Stress card: Normal −5% / VIX +10; Severe −10% / VIX +20; Gap −15% / VIX +30.
Same expiration on all legs.
Strike order: Long Put > PDS Short Put > Far OTM Short Put.
3. PREFERRED CONSTRUCTION
Long Put ≈ 25Δ.
PDS ≈ 50 /ES points.
Far OTM Put ≈ 5–10Δ.
Far OTM Put well below the lower 14-period / 2-standard-error regression channel.
Two-year daily chart = broad context.
14-period regression channel = short-term location.
10/20/30-day SMAs = supporting trend/alignment.
VIX and IVR = context; IVR ≥25 preferred, not mandatory.
4. PACKAGE ENTRY
Enter the complete three-leg 1-1-1 as a package limit order whenever practical.
Do not chase the fill.
Do not sacrifice safe distance simply to reach the credit target.
5. MANAGEMENT
Far put ≈30Δ → MANDATORY defensive review.
Standard far-put roll: meaningful net credit + materially improved risk + better than closing.
Upward far-put roll = NEW RISK-ADD DECISION. Must preserve distance and independently pass POP, credit, Maintenance Excess, BP/SPAN, stress, liquidity, and portfolio-capacity review.
Do not move the far put closer merely to increase credit.
PDS has NO automatic 30Δ adjustment.
Trap: allow it to work while the complete structure remains favorable.
Trap journal: record peak P/L, current P/L, far-put delta, PDS value, DTE, and reason for continuing/exiting.
6. EXIT
Normal exit: 70–80% of ORIGINAL Net Opening Credit OR far put <2Δ.
21 DTE = MANDATORY DECISION POINT.
If continuing beyond 21 DTE: daily review + documented planned exit date.
Do not allow a profitable trap to drift toward expiration merely because it remains profitable.
Default: close before expiration. Verify the exact /ES option series and settlement mechanics before allowing a campaign to approach expiration.
7. ACCOUNT OVERRIDE
ACCOUNT KILL SWITCH OVERRIDES EVERYTHING.
If current or stressed Maintenance Excess, BP, SPAN, or severe-stress exposure becomes unsafe, REDUCE RISK / CLOSE.
No fixed percentage trade loss stop is used — but account survival is non-negotiable.
8. QUICK JOURNAL
Entry: date/time, /ES, tier, DTE, strikes/deltas, credit, POP, theta, VIX, IVR, Maintenance Excess $ and % of NLV.
Management: action, far-put delta, roll credit/debit, reason.
Trap only: peak P/L, current P/L, PDS value, DTE, continuation/exit reason.
Exit: date, DTE, final realized P/L, % of original credit, exit reason.
WHEN IN DOUBT: ACCOUNT SAFETY → HARD RULES → POSITION QUALITY → PREMIUM OPTIMIZATION
VALIDATION: Use unchanged through the next 20 closed active-system campaigns. Log proposed changes separately.