Long Call Butterfly

Volatility

Long 1 lower call, short 2 middle calls, long 1 upper call.

Performance across all datasets

SymbolReturn %SharpeMax DD %Win %Avg/trade %Trades
SPY-687.7%-0.53+792.6%+31.6%-36.2%19
QQQ-530.8%-0.32+916.4%+31.6%-27.9%19
IWM-560.6%-0.29+755.4%+31.6%-29.5%19
DIA-690.8%-0.38+758.8%+31.6%-36.4%19
Avg-617.5%-0.38+805.8%+31.6%19
Cumulative P&L % — all symbols
Detail:
Cumulative P&L % — SPY

Risk Profile

Max Profit
At middle strike
Max Loss
Net debit
Breakeven
Lower/upper breakeven bands
Outlook
Pinning / low movement

Parameters

ParameterDefaultDescription
body_strikeATMMiddle strike

Methodology

A defined-risk, defined-reward structure that benefits if expiry finishes near the body strike.

Implementation

# +C(K1) - 2C(K2) + C(K3)