The EA trade was bonehead yesterday. The long vol crush was 23%, it killed the trade. Lost $644, but I made $380 scalping 10 AMZN shares after hours last night, and took $350 profit from the BA trade this morning. On EA, the risk graph was just not showing the danger, but the vega level was the warning. In the future I will split the time frames for analysis and apply better vol crush to each one.
The backtester shows an almost 100% success rate on BA (5 year test) with this trade: 1. 45DTE 2. sell 10 delta put x 10 3. buy 30/20 delta put debit spread x 2 4. close/reset at 50% profit. So I will be placing this trade this morning on a rolling basis. I will probably do 5/1 on qty. Excuse the “mouse writing” on the pic.
