Lynn,
Thank you for your input. For my Iron Condors I pick short strikes with a delta around 10. These strikes are slightly outside of 1sTD which gives me a slightly higher probability of profit. I also choose to buy the wings 10 points outside of my short strikes because I dont think going wider provides a much greater return on capital. I also trade weekly expiration cycles and sometimes they dont have 5 dollar strikes available when going out far out of the money. I know that 25pt wide ICs would allow me to deploy more capital per 1 contract and I’d be receiving a higher credit, but I dont think that ‘extra’ credit is worth the extra capital that I’d have to put at risk. In a nutshell, whether you choose to do 5, 10 or 50 wide ICs the key is doing the same trade time in and time out. If you do the same trade over and over you will understand how it behaves, what credit to expect when entering, when fills to exit are realistic and so on. I do think there are times when going 5 wide vs 10 wide is more advantageous, but unless we’re talking about trading 10MM or more it doesnt provide too much of an edge.