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Thank you! I really appreciate your support and encouragement!

Thank you

Will do we are getting better audio equipment

Yes we are working on it and getting some better recording equipment. Thanks for letting us know want to give you guys the best quality possible from the videos

Correct that amplifies it. I also like to look at premium capture which is the same when trading a 1 lot and that was higher in 2022 as well. The PCR is the main premise for my thought. But when comparing the front half of 2022 to the back half the way it was back tested you are absolutely correct

Of course comment on any video if there is anything specifically you would like me to go over in a video on the future

It’s really heartbreaking to see how inflation and recession impact low-income families. The cost of living keeps rising, and many struggle just to meet basic needs, let alone save or invest. It’s a reminder of the importance of finding ways to create financial opportunities. You've helped me a lot sir Brian! Imagine i invested $50,000 and received $190,500 after 14 days

Some persons think inves'tin is all about buying stocks; I think going into the stock market without a good experience is a big risk, that's why I'm lucky to have seen someone like mr Brian C Nelson.

Finding yourself a good broker is as same as finding a good wife, which you go less stress, you get just enough with so much little effort at things

Brian demonstrates an excellent understanding of market trends, making well informed decisions that leads to consistent profit

I'm surprised that you just mentioned and recommend Mr Brian Nelson. I met him at a conference in 2018 and we have been working together ever since.

🐐

@@zerodaymark that's my goal to run zero DTE hedge fund :) I know it's takes me a decade to achieve it, but... dream big!

@@TimurFedotov-lz5dm You can do it its not so much about the time but just rather that when you make mistakes you learn from it and progress to slay the next dragon rather than learning the same lesson dozens of times

It is pretty efficient there is richer theta in power hour but the other side of theta is gamma the main driver of slippage. In general i think there is a good risk to reward of slippage vs the decay you get by not having orders that go to far ITM during power hour. In my experience over 1000's of trades iron flys have $0.45 to $0.55 of slippage during that time while Iron condors are $0.20 to $0.25

@@1249mark This guy gets it

I use the strategy on my weekly recap as a comparison of what a mechanical strategy of entering looks like. I like to use it MEIC a baseline similar to comparing myself to the S&P but with an options strategy so I can tell if what I am trading is providing an edge over MEIC

@@zerodaymark ah thanks, so do you just place the AIAO on market open with more contracts rather than smaller contracts spread throughout the day? (Which I would have thought would be more diversified?)

I don't go by delta to buy the long leg it is just to cap buying power. I do $150 away from the short put leg or what long opitons is closer and priced as $0.05 To $0.10 usually it won't be $150 wide unless volatility is a little higher

I can show you them on a call. here is a link to my calendar anyday outside of wednesday works good for me next week calendly.com/markanderson-mbhcapmgmt/mbh-discovery-call-youtube

in progress

do you have an options omega subscription? that is usually what prevents the link from working if you do not have a subscription you can't view it. I just pasted it in a google doc which I will link here and in the video docs.google.com/spreadsheets/d/1iS-YADkNNRCulHBeZl8pRtUtCZirJyDhIyVywkpMtDQ/edit?usp=sharing

Yeah i find the closer we get to expiry the more accurately vol is priced. Yeah 40% i like to also peg it to a 90 day quarterly target of 10% so we prioritize consistency within the strategies

it should be there under the misc category at the end of the back testing software. Make sure the start date is back to 2016 and you have use exact DTE and it is shown for everyday of the week

@@zerodaymark Many Thanks. I’m still not seeing it. As soon as I select per leg stop loss the cap losses disappears for me. I have a question in to Option Omega. I did select Jan 2016. One issue was that it was set to exact strike offset. That helps. I get more trades but still only 607 (vs your 748)

@@neillusby2147 Try to split the orders as leg groups i think that is it because it starts to look at it as 2 trades a put spread and call spread instead of 1 as a condor. Manage the put and call leg separate. Here is the link to my test optionomega.com/share/mqUWlDHiUvJEPtwqS00V

The first trade used a fixed 1 contract lot which requires only 10% of the buying power / account value and doubled the account. If we used the entire account excluding compounding it would have returned 1000% vs the S&P's 175%. In addition to this it's largest drawdown was only -9.6% comparative to the S&P which had a -33% in 2020 and the -22% in 2022 so risk adjusted and capital efficient it has value to evaluate if the additional investment in time and automation makes sense for an individual. All of the commissions, fees, slippage and cost of executing are included in the back test.

@@zerodaymark Your literal first reaction is to imply that a 100% account allocation towards a single strategy would be appropriate? I think 10% is high for any single position, but seeing a relatively reasonable max drawdown like that, 10% might be acceptable. I appreciate hearing about strategies that are effective in a sideways trading market, I'm not opposed to these sorts of trades. I was just providing perspective as the strategies did not outperform the market with a (skeptically) reasonable allocation size, and these were the scenarios that you wanted to present. I fully believe that trades like these make sense during certain market conditions, but I don't think you need a bot/subscription/guru to perform them.

@@benharsch9340 Yeah holding SPY is a good allocation and this trade you can easily do with no bot you would just have to log on for 10 minutes in the morning. An option trade or two is nice because they are generally more diversified than than holding IWM & QQQ. It is also nice to have a strategy with no overnight risk. The vast majority of diversity benefit is from 1 to 2 strategies.

Yeah when 0 DTE sucks it sucks and you can loose a lot quickly. With 6-8 different trades in a 0 DTE portfolio it can smooth that out. The good part is a 0 DTE bear market when it's tough to trade only last a few weeks. Make sure always using stop losses is helpful or mixing in some long vol to balance out credit selling

@@zerodaymark I never really thought about doing multiple different positions. Kinda just stuck to one at a time. I’ll mess around more with it. Thanks for the response

@@Vandantcyclone of course feel free to comment anything you would like me to go into more detail about in future videos

I almost always close before the market closes. You can let the short expire worthless to save on commissions but you would want to close out of the long before the close of the day to prevent additional slippage

It is reference to the close of the VIX the prior day at 415 to the value of the first print at 931. So if the VIX closed at 15 the day before and opened to next day at 15.1 I would trade it if it opened at 14.9 I would not

Thank you let me know if there is anything you would like me to cover in more detail on future videos

sometimes its better to be lucky than good. Id rather be the smartest trader than the luckiest

I like to test back to 2016 forward and see a positive return in each year. I do expect some trades to under and over perform. I am more concerned with consistent returns more than massive P/L streaks with less certainty. As long as the trade continues to have a positive P/L over 90 day periods I will continue to trade it even if it underperforms the past. Once the trade has gone through a 90 day period of negative returns I would then ditch that trade

Thank you let me know if there is anything in specific you would like me to go over or make a video about

Thank you!! If there is anything you want me to cover let me know!

Preach

Haha yes 99% of people lose money trading options. Does not mean with the right tools we can't be that 1%. The average American is 40 lbs overweight $10k in debt and has less than 1 close friend. Does not mean we have to accept those standards

type DTE days to expiration

Yeah we have to think geometric vs arithmetic returns the hedge doesn't even need to breakeven to lessen your drawdowns and improve your compounding. You can actually loose money on the hedge and make more money in the long term from it

One day big goals but easy steps on a day to day basis to be fulfilled

Thanks for that feedback, I really appreciate it. My goal is to best help you understand this free content. So would be happy to do that. I will try to fix this for next time. I will be uploading content that will answer your questions in great detail through the Newby learns to trade 0 DTE series. So stay tuned for that. For this particular trade though this was a iron condor, where you manage both the call and put side separately. We will go deeper into what this exact trade looks like in the Newby Learns 0 DTE series.

here is the link to the backtest via options omega optionomega.com/share/2hYrVOq5nQ3yhqSIUiSH

@@zerodaymark Thanks Mark for replying but this link does not work.

@@TM-uu6rf Do you have an options omega subscription the link will only work for subscribers?

Glad you're finding this info helpful! Is there anything else that you would like me to cover?

Yeah its all about getting your mental game right to follow through

Yeah will do i would adjust it after a few weeks. I expect the entry premium to vary day to day but over the course of a dozen trades you will collect more or less win loss will almost always be the same or better if you back test correctly

Yeah we are going to work through some indicators in the future a delta neutral condor core is a good part of a portfolio

Thanks i will keep them coming let me know if there is something you want me to address specifically

I like to use a credit because we trade mechanically and it test better over long periods of time. I have also noticed that between 10-20 delta the same stop multiple has basically the same win rate give or take a % so it is more consistent then collecting 2x the premium when vol is high from a max drawdown vs return perspective. I do some delta trades but they are more for longer duration. I generally like to collect between $0.75 & $2 $1 to $1.5 seems to be a good spot also

​@zerodaymark thanks a lot for the considerate reply. Im working on a portfolio currently but it's tricky. It's not like learning a standard discipline. Do you recommend any material/books. Out of interest, do you offer mentorship/one to support?

@@backintodaylight I always think the best experience is trading. The way i look at it is trading is playing the game and back testing is practicing. So doing a lot of back testing and live trading at a small size lets you experience what is best for you. It's not so much the most optimal strategy but the one you believe in and can continue to execute on a day in day out basis.