Week 7: The Sniper Setup – The Kill Zone

You do not fire at everything that moves. You wait for the target to walk into the crosshairs.

A “Sniper Setup” only exists when Phase 1 (The Chart) and Phase 2 (The Math) agree perfectly. We call this overlap The Kill Zone.

1. The Confluence Checklist

Before you open your brokerage app, you must check these four boxes. If even one is missing, NO TRADE.

1. Trend: Is the Monthly/Weekly Chart in your favor? (Green = Bullish).
2. Signal: Do you have a Strat Signal? (Inside Bar Break or 2-1-2 Reversal).
3. Math: Is the option Liquid? (Is the spread between Bid/Ask tight?).
4. Edge: Can you get 30 Delta or lower?

2. The “30-Minute” Rule

Amateurs rush in at 9:30 AM when the bell rings. Snipers wait.

• The first 30 minutes of the market are fake. It is just algorithms fighting over the opening price.
• The Rule: We do not enter new positions until 10:00 AM EST. Let the dust settle. Let the candle close.

3. Sizing the Target

• Implied Volatility (IV): We prefer High IV.
• High IV means option premiums are expensive (inflated).
• Since we are SELLERS, we want to sell expensive things.
• IV Rank > 30 is ideal.