In the options chain, go out an equal amount of dollars from the current stock price. The side that is more expensive has the skew. Usually it's the put side. For example, if the stock price is at $100, select the bid price of the $95 put and the $105 call. The more expensive one has the skew.
You can, but there will be a lot of friction between them, even worse than with an iron condor. Higher probability of profit means usually that the expected profit is very low. This could make sense if you have shares and want to lock in any profits if the price stays range bound, but enough to close from time to time the long spread. But if you have shares and you can afford it, you might want to consider selling ratio spreads
The best spread of all time.. especially the 132 and 231 fly spreads
Where are the short delta set at, I may have missed it
With market direction, when do you place a Call BWB or a Put BWB?
This was awesome, thank you!
How do you determine the skew side for the bwb trade?
In the options chain, go out an equal amount of dollars from the current stock price. The side that is more expensive has the skew. Usually it's the put side. For example, if the stock price is at $100, select the bid price of the $95 put and the $105 call. The more expensive one has the skew.
Can you set up a call and put BWB spread simultaneously
Do not believe you can
In other markets they do this kind strategies, opposite directions netting the Delta.
You can, but there will be a lot of friction between them, even worse than with an iron condor. Higher probability of profit means usually that the expected profit is very low.
This could make sense if you have shares and want to lock in any profits if the price stays range bound, but enough to close from time to time the long spread. But if you have shares and you can afford it, you might want to consider selling ratio spreads
Do it in two trades, not one because max legs is 4
Putting on the butterfly on both sides makes the trade less directional which I prefer.
Drugs are bad, mmmkay