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+1658.2%0.28+1068.9%+47.4%+87.3%19
QQQ+1357.4%0.09+2640.7%+42.1%+71.4%19
IWM-613.1%-0.45+898.1%+21.1%-32.3%19
DIA+766.2%0.17+719.7%+42.1%+40.3%19
Avg+792.2%0.02+1331.8%+38.2%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)