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β BEFORE ENTERING TRADE (GO / NO-GO)
1. Volatility Check β CBOE Volatility Index
- >20 β High (premium-rich)
- 15β20 β Normal
- 12β15 β Low (caution)
- <12 β β NO TRADE
2. Trend Check (7 / 21 MA)
- Bullish (7 > 21) β Lower delta (more room)
- Neutral / Chop β Standard
- Bearish (7 < 21) β Higher delta (more income)
3. Trade Quality Check
- Premium worth the risk?
- Strike outside expected move?
- Adequate upside room?
π If 2β3 answers are NO β NO TRADE
π― TRADE SETUP
LEAP (Always)
- ~0.80 delta
- 12β18 months
Short Call (Adaptive)
Based on VIX + Trend:
- High VIX (>20)
β 15β25 delta
β 7β14 DTE - Normal (15β20)
β 20β30 delta
β 14β30 DTE - Low (<15)
β 25β35 delta OR skip
β 30β45 DTE
β οΈ Adjust slightly for trend:
- Bullish β lean lower delta
- Bearish β lean higher delta
π DURING TRADE (MONITOR)
π Price Distance to Strike (PRIMARY)
- >5% β Do nothing
- 3β5% β Monitor
- 1β3% β Prepare
- <1% β ACT
π Delta Check (CONFIRMATION)
- ~30 delta β Monitor
- ~40 delta β Act
π Always use price + delta together
βοΈ ACTION RULES
- 50β75% profit β CLOSE
- Near strike β ROLL UP & OUT
- Risk rising β CLOSE EARLY
β Never:
- Let deep ITM calls sit
- Hope for reversals
π WEEKLY FLOW
- Early week β Enter trades
- Midweek β Monitor
- Late week β Take profits / roll
π LEAP MANAGEMENT
- Roll at 6β9 months remaining
Roll Early If:
- Large gain (30β50%+)
- Delta <0.70
- Clear trend shift
β HARD RULES
- No trades in very low VIX (<12)
- No chasing premium
- No emotional rolls
- No forcing trades
π§ FINAL REMINDER
Consistency > perfection
Frequency + discipline = income
π HOW TO USE THIS
- Before trade β Run GO / NO-GO
- During trade β Follow price + delta rules
- Weekly β Follow workflow
π This turns trading into a routine, not decisions
π₯ WHAT THIS UNLOCKS
If you follow this consistently:
- You avoid low-quality environments
- You stop reacting late
- You capture profits faster
- You keep the LEAP working with you
β‘ ONE-LINER
System first. Adjust second. Execute always.
