This study uses 20 trades with no market moves over .5%. It is designed to be a tough real-world comparison in an average low volatility market. All the SPY – T trades in this observational experiment point positive for consistency. In this study, the market was up 65% of the time, or 65% correct.

A snapshot of SPY options data (3-6 days to contract expiration) is captured near market close and again captures soon after the market opens. Exact capture times can and do vary.

The experiment begins with $1000. We have a buy price and a sell price and then a percentage result. The buy and sell price does not match the balance. However, the percentage result is added to the total SPY-T trading balance for each trading style. This represents a 100% reinvestment risk with each trade.

We do not recommend a 100% reinvestment risk for any strategy. This approach is for experiment and demonstration purposes only.