Several key factors in options trading:
Position opening logic, strategy exposure design (especially Delta and Gamma), strategy profit and loss ratio, positions on a single strategy, and trading frequency. These five indicators are inversely proportional to each other and restrict each other. Everyone's comfortable exposure, trading system, and judgment of the market are different. I personally give what I consider to be scientific suggestions based on my options trading experience:
1-If it is a buyer's strategy, the profit-loss ratio should be 2:1-3:1 (the winning rate is above 33%), and if it is a seller-biased strategy, the winning rate should be 80%;
2-Novices should try not to have naked positions, including naked buying and selling, because they are mostly used by experienced players;
3- Try to spread the positions as much as possible, such as 50% of the big pie and 50% of the second pie. Do not mix strategies on the put side and the call side on each date; the MM of a single strategy is within 2%; in this way, basically 10%-30% of the MM players can distributed to different dates;
4-The number of transactions can be low if you are a novice. But this varies greatly from person to person and from trading system to trading system. The charm of crypto options is that with enough training, one year can equal 4 years of experience in options trading in traditional finance. If professional players can quickly defeat monsters and upgrade. If you are a large investor, you can use options for some hedging or personalized exposure design.
