Is there a reason why a longer DTE would gain more p/l per day with lower Theta than a shorter DTE ?
I am doing simulation in SNOW with almost the same strikes one is expiring on Jul 28 and has 56 Theta and p/l of +$18
The other one is for 20 Oct expiration and has 18 Theta and p/l of +$79
This is just a strangle strategy
They were both placed on Jul 20
It seems like it would be better to place the farther out trade even though the Theta is lower
I am doing simulation in SNOW with almost the same strikes one is expiring on Jul 28 and has 56 Theta and p/l of +$18
The other one is for 20 Oct expiration and has 18 Theta and p/l of +$79
This is just a strangle strategy
They were both placed on Jul 20
It seems like it would be better to place the farther out trade even though the Theta is lower