This guide will walk you through the process of creating and automating a Calendar 112 trade using an auto trader. You'll learn how to set expiration dates, adjust strike prices, define trade entry frequencies, and manage exits. The guide also covers how to allocate buying power, review your settings, and authorize the automation, ensuring a smooth and efficient setup for your Calendar 112 strategy.
Step 1: Navigate to the Dashboard
Open your dashboard page and click on the "Create an Autotrader" button.
Step 2: Select Calendar 112 Strategy
Click on the "Create an Autotrader" button again.
Choose the "112" option for the Calendar strategy.
Step 3: Set Expiration Dates
Select your symbol and set the days until expiration (DTE).
Instead of using the default settings, click on "Click here to create a calendar."
For the first two legs, set the expiration date to 120 days out (or your preferred duration).
For the third leg, choose a closer expiration, such as 90 or 45 days.
Step 4: Adjust Strike Prices
Set your strikes based on Delta, out-of-the-money values, or another preferred method.
Each leg of the trade is adjustable, and you can structure it as needed.
Step 5: Save and Continue
Click "Save and Continue" to move to the next section.
Step 6: Define Trade Entry Frequency
Decide how often you want to enter this trade: once a week, on specific days, or at specific times.
For advanced settings, you can use the TradingView integration to trigger entries based on indicators.
Step 7: Set Exit Conditions
Define your take profit and stop loss percentages.
If you want to close the trade early, set up early exit conditions.
For Calendar 112 strategies, enable the PDS (Put Debit Spread) Hedge to keep the long-dated put after taking profits on the short puts.
Step 8: Set Buying Power Allocation
Set how much money the bot can use for each trade.
If each trade costs around $10,000 and you want to place five trades, allocate at least $50,000 to the bot.
Step 9: Save and Continue
After setting your budget, click "Save and Continue."
Step 10: Review and Authorize
Review your settings and verify the trade details.
Once satisfied, click the checkbox to authorize the auto trader and save the configuration.
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