Trendy Short Put Spread
This bot is based on one of the top backtests run inside the platform. Naturally, I modified it a bit to fit my own personal trading preferences and included a couple more filters for trend and liquidity for the position.
If you look inside the Scanner you'll notice that I first am filtering for VIX levels below 40 and the stock in an uptrend. I noticed on the backtest of this strategy that it typically performed worse in down markets so the objective here is to filter those trades out and prevent the bot from trading when the stock is in a downtrend.
Next, I added two liquidity filters for the short put spread for the bid/ask spread and the short strike open interest. Feel free to adjust or edit as needed of course.
Finally, I fixed the width of the spread to $10 so that I could control risk a bit better. The backtested version included the long strike at .05 delta on the put side which from what I saw was typically around $10-15 wide depending on the period. I personally prefer a more structured approach for this one so I fixed the bot to only purchase the long put wing $10 below the short put strike.
For my Monitor automation, I created a copy of my traditional Put Spread Manager and modified it for shorter duration trades like this one. You'll notice when you view the Monitor that I check first for a 25% profit, then I check and see if the position is 2 days from expiration AND the short strike is ITM. If so, I'll close the position and move on.
As always, please modify and edit to fit your own personal trading style and risk tolerance. Enjoy!