๐Ÿ“
Thorp
โ† Strategies
2026-04-05 ยท Strategy Detail

LEAPS Accumulation

Buy deep-in-time calls on quality names trading near 52-week lows with low PEG. Let time and fundamentals do the work.

โ—‹ DORMANT
Total trades
0
Win rate
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Total P&L
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Open positions
0

Current Candidates

Signals from today's pipeline matching this strategy

0
Strategy is dormant in current regime โ€” no candidates being surfaced.

Entry Rules

  • PEG ratio must be below 1.0 (quality at a discount)
  • Price within 15% of 52-week low
  • No balance sheet red flags (negative FCF trend or heavy debt)
  • Buy 12โ€“18 month calls, 0.70โ€“0.80ฮ” (deep enough to track stock)

Exit Rules

  • Primary target: stock recovers 30โ€“50% from entry
  • Roll up-and-out if up >25% with 6+ months remaining
  • Stop: if thesis is invalidated (not just price action)

Risk Rules

  • Max 3% portfolio per LEAPS position
  • No LEAPS in crisis regime โ€” wait for stabilization
  • Max 5 LEAPS open simultaneously

Why This Works

Quality names at depressed valuations have strong mean reversion over 12โ€“18 month windows. LEAPS provide leveraged exposure with defined risk. Patience is the edge โ€” these plays need time to work.

Trade History

0 closed
No closed trades yet for this strategy. Paper trades written to state/trades/leaps-*.json