Cycle Trading

[dotnet]

I did spreads both debit and credit. for credit spreads, the key is high IV. for 5$ spread if you get at least 2.5$ premium then it's a good one.but its hard to find except during earnings. if it moves against the direction you are expecting it will be big loss with even 10 contracts.
debit spreads and diagonal spreads are ok as it will reduce your risk. the problem with spreads is slow gains and you cannot take gains until you close the short side.
all in all, direction has to be right. except spreads give little wiggle room if it goes against yours.
so, i was trying various things and i came up with this strategy. i did not back test but may be you can do it and tell me. i will hedge with 1 put if i buy 3 calls with same premium. for example if i buy 3 calls for 1$ premium then i will buy 1 put for 1$ premium. 2 puts for 6 calls. like that 1-3 ratio. if it goes against me at least i will recover the money i spent on calls. this way i can take gains any time on either side without worrying to be naked short.