Couldn’t agree more. There is often more margin on the line should the trade go sour, albeit vertical spreads can be forgiving if structured correctly. Oftentimes, my goal is 50% profit with a 20% stop loss. However, as a momentum trader, there are a lot of times I am able to buy the spread back for $0.05. Trading momentum squeezes can often give me high conviction trades, so long as I have a good ‘feel’ for buyer or seller exhaustion and that there are no big contrary order prints where market makers can find liquidity.

For me, I try to monitor where the volume and open interest walls are, and to see where the max pain levels are. This way, my spreads can be set outside of this ‘expected’ range. Then, I usually set an OCO with either market price or % stop loss.

Thank you very much for taking the time to comment. I’m not an instructor - just a retail trader sharing my experience. In my articles, I recommend paper trading in my disclaimer, but all trades I write about are actual trades I have taken. I mostly write about the trades to promote the affiliate or referral partner, not so much the trade itself.

I got my options training from Simpler Trading - great community of traders, John Carter, Danielle Shay, and Mary Ellen McGonagle. :)