---
title: "How To Create A Butterfly Spreads Bot"
description: "Step-by-Step Guide to Setting Up an Automated Butterfly Spreads"
url: https://help.optionsautotrader.com/en/articles/59-how-to-create-a-butterfly-spreads-bot
collection: "Custom Options Bots 101"
updated: 2026-05-10
language: en
---

# How To Create A Butterfly Spreads Bot

Step-by-Step Guide to Setting Up an Automated Butterfly Spreads

This guide walks you through creating an automated butterfly spread trader, covering steps like selecting strike prices, choosing call or put options, customizing the butterfly spread, setting trade entry frequency, defining exit strategies, and managing buying power allocation. You'll learn how to configure entry rules, take profit/stop loss settings, and advanced features like TradingView integration.

## **Step 1: Access the Dashboard**

-   Go to the **dashboard page**.
    

## **Step 2: Create an AutoTrader**

-   Click on the **"Create an AutoTrader"** button.
    

## **Step 3: Select Butterfly Spreads**

-   Click on **"Butterfly Spreads"** from the options that appear. This preloads a typical butterfly spread setup.
    

## **Step 4: Adjust Strike Price**

-   Choose the **strike price** for the butterfly spread.
    
    -   You can adjust this to be **out of the money** or **at the money**, depending on your preference.
        
    -   For example, you can choose to be **$10 out of the money** or **$5 in the money**.
        

## **Step 5: Custom Setup (Optional)**

-   If you want a custom butterfly spread (like a 1-2-3-2 setup), adjust the settings accordingly.
    

## **Step 6: Choose Call or Put Options**

-   The default setup is a **call butterfly spread**, but if you want to use **puts**, switch the option to **puts**.
    

## **Step 7: Define Contract Positions**

-   Enter the number of contracts for each leg:
    
    -   A **positive number** means you are buying the contract.
        
    -   A **negative number** means you are selling the contract.
        
    -   Example setups include **3-1-2** for the butterfly structure.
        

## **Step 8: Set Entry Frequency**

-   Define how often you want to enter this trade:
    
    -   **Once a week** or multiple times a week.
        
    -   Choose the **days** and **times** for entry (e.g., a specific session or time).
        
    -   If you have other **advanced entry rules**, click on the advanced settings.
        

## **Step 9: Set Trading Indicators (Optional)**

-   If you want to enter trades based on specific indicators, enable **TradingView integration**.
    

## **Step 10: Define Exit Strategy**

-   Set your **take profit**, **stop loss**, and **early trade closure** preferences.
    

## **Step 11: Configure Buying Power Allocation**

-   Decide how much buying power the bot should use for trading:
    
    -   This is based on how many open trades you want and the cost per trade.
        
    -   For example, if each trade costs $1,000 and you want 5 trades, you need **$5,000** in buying power.
        

## **Step 12: Save Settings and Continue**

-   After configuring the strategy, click **Save and Continue**.
    

## **Step 13: Review Settings Summary**

-   A summary of your settings will appear.
    
    -   Review the strategy and settings.
        

## **Step 14: Authorize and Save**

-   If everything looks good, click on **Authorize** and then **Save AutoTrader**.
    

This process automates the trading strategy for butterfly spreads with customizable settings for entry, exit, and trade management.

**TERMS OF SERVICE:** Please be aware that continued use of the Options Auto Trader is subject to our [Terms Of Service](https://www.optionsautotrader.com/terms-of-service). If you have any questions or wish to review these terms, feel free to visit the website.