Strategy: Put Ratio Spread (Buy 1, Sell 2)
Expiration: 16 OCT 26 (51 DTE)
Strike Price: Buy 1 165, Sell 2 160
My Execution Fill: $5.95
๐ Quantitative Metrics at Entry
Delta (ฮ): 0.22
Implied Volatility (IV): 64%
IV Rank (IVR): 34
Probability of Profit (POP): ~73%
๐ ๏ธ Structural Management Targets
Profit Objective: 50% of max premium
Defensive Plan: If the underlying breaches the 160 strike, our rule dictates closing the debit put spread and rolling out the remaining short put in duration to the next liquid cycle for a net credit, or cutting the position if tail-risk thresholds are exceeded.