
Sign up to save your podcasts
Or


In **Part 2** of this must-watch 3-part series, Coach Ernie reveals the single biggest edge multiplier in our entire 0DTE strategy: **Convexity Hunting**.
This is the professional secret that turns an already powerful asymmetric butterfly setup into an absolute monster β often 25β50% (sometimes 100%) cheaper for the same or better payoff.
**π What You'll Discover in This Episode** - What **convexity** really is (the "hockey stick" rapid rate-of-change in option pricing) - Why the **5β10% Debit Rule** (max 10% of butterfly width) is only the starting point β and how to push one or two strikes further out for massive savings - How shifting just 1β2 strikes can cut your debit **30β50%** with almost zero change to the payoff curve - Why **wider flies at constant risk-to-reward** (9:1 to 18:1) often outperform narrow ones - The critical role of **Gamma** and how volatility dictates fly width each morning - Live demo of the **Convexity Heatmap** tool β watch Coach find perfect high-convexity setups in seconds and copy them straight to Thinkorswim - Side-by-side payoff comparison: standard 10% debit fly vs convexity-optimized fly (same 10β12 point move β nearly identical profitβ¦ at half the cost) - How consistently hunting convexity creates a **widening gap** in your equity curve over time (gray line vs boosted green line) - Why chasing win rate is a loser's game β and how solving for payoff geometry + convexity wins long-term
Coach also answers live viewer questions, explains morning vs all-day trading windows, directionality (you don't need to be good at it), and why this one skill separates retail traders from pros.
**π Complete 3-Part Series (All Slides Linked)** - **Monday** β We Define Risk & Manage Profits - **Tuesday** β Become a 0DTE Convexity Hunter β **You are here** - **Wednesday** β Keep What You Make with a Dynamic Trail
πΎ **Full presentation slides available in the description** β download and build your personal 0DTE masterclass library.
π Want to master convexity hunting and trade like the pros in just 4 weeks? Start your **Observer coaching trial** today (price of a sandwich per week) β **[https://fattail.ai/try](https://fattail.ai/try)**
π Like β’ π Subscribe β’ π Share with traders still grinding tiny wins and big drawdowns
#0DTE #Convexity #OptionsTrading #ButterflyOptions #FatTailStrategy #OptionsEdge #DayTrading
By Ernie Varitimos4
4444 ratings
In **Part 2** of this must-watch 3-part series, Coach Ernie reveals the single biggest edge multiplier in our entire 0DTE strategy: **Convexity Hunting**.
This is the professional secret that turns an already powerful asymmetric butterfly setup into an absolute monster β often 25β50% (sometimes 100%) cheaper for the same or better payoff.
**π What You'll Discover in This Episode** - What **convexity** really is (the "hockey stick" rapid rate-of-change in option pricing) - Why the **5β10% Debit Rule** (max 10% of butterfly width) is only the starting point β and how to push one or two strikes further out for massive savings - How shifting just 1β2 strikes can cut your debit **30β50%** with almost zero change to the payoff curve - Why **wider flies at constant risk-to-reward** (9:1 to 18:1) often outperform narrow ones - The critical role of **Gamma** and how volatility dictates fly width each morning - Live demo of the **Convexity Heatmap** tool β watch Coach find perfect high-convexity setups in seconds and copy them straight to Thinkorswim - Side-by-side payoff comparison: standard 10% debit fly vs convexity-optimized fly (same 10β12 point move β nearly identical profitβ¦ at half the cost) - How consistently hunting convexity creates a **widening gap** in your equity curve over time (gray line vs boosted green line) - Why chasing win rate is a loser's game β and how solving for payoff geometry + convexity wins long-term
Coach also answers live viewer questions, explains morning vs all-day trading windows, directionality (you don't need to be good at it), and why this one skill separates retail traders from pros.
**π Complete 3-Part Series (All Slides Linked)** - **Monday** β We Define Risk & Manage Profits - **Tuesday** β Become a 0DTE Convexity Hunter β **You are here** - **Wednesday** β Keep What You Make with a Dynamic Trail
πΎ **Full presentation slides available in the description** β download and build your personal 0DTE masterclass library.
π Want to master convexity hunting and trade like the pros in just 4 weeks? Start your **Observer coaching trial** today (price of a sandwich per week) β **[https://fattail.ai/try](https://fattail.ai/try)**
π Like β’ π Subscribe β’ π Share with traders still grinding tiny wins and big drawdowns
#0DTE #Convexity #OptionsTrading #ButterflyOptions #FatTailStrategy #OptionsEdge #DayTrading