Confirm and Send - April 26, 2024 - Balancing Stocks and Futures

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Tom Sosnoff and Tony Battista provide a market update, noting that S&Ps, NASDAQ, Russell, Dow, and Bitcoin have seen varied performances, with bonds selling off slightly. They delve into audience questions, addressing the balance between stock and futures positions in trading strategies like the wheel strategy, and suggest a ratio leaning toward having a higher percentage in stocks and listed options. Additionally, they explore managing a portfolio with mixed winners and losers, suggesting treating it as a single position for adjustments. For smaller accounts, the debate centers on trading short-term (0-1 DTE) versus longer-term (45 DTE) options, leaning toward longer durations for better success potential. Handling in-the-money calls on rebounding stocks, they recommend rolling out or changing to a sell strategy on out-of-the-money puts. For iron condor strategies, they suggest patience as initial negative P&L often occurs due to volatility but adhering to the strategy should yield expected outcomes. Lastly, they explain bond ticks in futures trading, addressing the complexity and advocating for decimalization for simplicity, emphasizing the product's value despite the outdated fraction system in trading bonds and notes.