Hi There,
I am new to Quantopian and python illiterate. My coding skills are basically nill.
I do have some simple ideas that trade at the moment with real money that I would backtest and run with code. If you have some coding skills and would like to help out me out that would be awesome.
I'm primarily interested in using rolling call options on major index's (or their ETF equivalents) to reduce risk. I think that some of my ideas could work well.
This is what I had in mind.
The strategy I am considering is using rolling call options 6 weeks out. Purchase them in the money (about $20 bucks below current price. ( ie I bought a March 16 160 call last week for $23.07 , TQQQ was at $174ish). These options track TQQQ pretty well (delta = 0.85+) while giving you some downside protection (12%). The idea is to have about 10-15% invested in the option and the rest cash.
I figure this is a good strategy because on a major market correction you will only lose your option. While still having almost full benefit of the shares moving up. Best part is after a setback you still have money to reinvest. I started considering this strategy when I read that simulating the TQQQ back to event like 2008 it would have lost 93% of its value.
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