In this guide, you'll learn how to create and automate a 1-1-2 trading strategy bot. It covers the step-by-step process, including selecting assets, setting expiration times, picking strike prices, adjusting deltas, and configuring entry and exit rules. You'll also explore advanced options like hedging strategies and how to allocate the necessary buying power for your trades.
Step 1: Navigate to the Dashboard
Click on the "Dashboard" option to begin the process.
Step 2: Create an AutoTrader
Click on "Create an AutoTrader" to start setting up your bot.
Step 3: Select the 1-1-2 Strategy
Click on "Create an AutoTrader" again, then choose the "1-1-2" option to define your risk strategy.
Step 4: Choose the Asset
Select the asset you want to trade. Ensure you've connected a broker that supports futures if necessary.
Step 5: Set the Days Until Expiration
Pick the expiration time for your options, or convert this into a calendar setup if desired.
Step 6: Pick Your Strike Prices
Choose your strike prices based on delta. Adjust the strike offset for a customized spread width.
Step 7: Choose the Delta for the Two Options to Sell
Set the delta for the two options you want to sell as part of the 1-1-2 strategy.
Step 8: Set Frequency and Time for Entering Trades
Decide how often and when you want the bot to enter trades (e.g., weekly or multiple times a week).
Step 9: Advanced Entry Settings (Optional)
Use advanced settings to base entries on indicators or trend lines, and integrate TradingView if needed.
Step 10: Save and Continue
Once you’re satisfied with your setup, click "Save and Continue" to proceed.
Step 11: Set Exit Rules
Define exit rules for take profit, stop loss, and early closure conditions.
Step 12: Consider Hedging Options
Optionally, convert the 1-1-2 strategy into a hedge by closing short puts at take profit.
Step 13: Review and Finalize the Buying Power
Set the required buying power (e.g., $10,000 for one trade or more for multiple trades).
Step 14: Review the Summary
Double-check your settings to ensure everything is correctly configured.
Step 15: Authorize the AutoTrader
Tick the box to authorize the bot to automate your trades.
Step 16: Save the AutoTrader
Click "Save AutoTrader" to complete the process and activate your 1-1-2 bot.
Now your automated 1-1-2 bot is set up and ready to go!
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