Dan Sheridan – Trading Double Diagonals

Instructor: Dan Sheridan
Course Format: On-Demand Video Course (Recorded Live Sessions)
Skill Level: Advanced Options Traders

Course Overview:
In Trading Double Diagonals, Dan Sheridan dives deep into one of the most versatile and advanced options strategies that combines two distinct diagonal spreads to create a high-probability income-generating position. This strategy is designed for traders looking to capitalize on both time decay (Theta) and volatility (Vega) in order to achieve consistent profits while maintaining a balanced risk-to-reward profile.

Double Diagonals are a blend of vertical spreads and calendar spreads, giving traders the opportunity to profit from both directional moves in the underlying asset and changes in implied volatility. This strategy works particularly well in neutral to slightly volatile market conditions, where the underlying asset is expected to stay within a defined range. Dan’s deep dive into the nuances of this strategy will help you understand its core mechanics, optimal market conditions, and advanced trade management techniques.

Whether you are an experienced options trader looking for an edge or a trader seeking to add more flexibility and scalability to your trading portfolio, this course will provide you with a comprehensive guide to mastering the Double Diagonal strategy.

What You’ll Learn:
✔️ Core principles of the Double Diagonal Spread, how it combines vertical spreads and calendar spreads to create a balanced, high-probability position
✔️ How to select the right strikes and expiration dates for both the front month and back month options to maximize profit potential
✔️ The best market conditions for implementing Double Diagonals and how to tailor the strategy to capitalize on neutral to slightly volatile market environments
✔️ How to set up the Double Diagonal positions, including the specific steps for entering, adjusting, and exiting the trade
✔️ Advanced techniques for managing the theta decay and vega exposure to ensure you maintain a profitable position while reducing risk
✔️ The ideal position sizing and how to control risk by balancing the size of the options contracts in both the front month and back month
✔️ Adjustments for when the underlying asset moves unexpectedly and how to fine-tune your Double Diagonal position to maintain profitability
✔️ How to monitor implied volatility (Vega) and use volatility-based adjustments to enhance your trade outcomes
✔️ How to combine Double Diagonals with other advanced strategies for creating more complex and dynamic trading plans
✔️ How to scale up or scale down the number of contracts as market conditions evolve, making the strategy adaptable to various trading environments
✔️ Real-life examples of successful Double Diagonal trades, showcasing the step-by-step process of execution, adjustments, and trade management

Course Includes:
✔️ Full access to all recorded live sessions, where Dan explains the Double Diagonal strategy and provides real-time insights on trade execution and management
✔️ Downloadable guides, checklists, and resources for setting up and managing Double Diagonal positions
✔️ Risk management tools to calculate position sizes, strike selections, and volatility parameters to ensure a balanced risk/reward ratio
✔️ Tools and calculators for determining the best expiration dates, strike prices, and adjustments based on market volatility
✔️ Bonus content on how to combine Double Diagonals with other advanced strategies such as Iron Condors and Butterflies for more diverse portfolio construction
✔️ Trade management techniques, including how to adjust and fine-tune your positions if the underlying asset moves against your original expectations
✔️ Bonus live walk-throughs of real-world Double Diagonal trades, illustrating how Dan handles trade management, adjustments, and exits under different market conditions

Why Choose Double Diagonals?
The Double Diagonal strategy is ideal for traders seeking to capitalize on time decay (Theta) while simultaneously benefiting from shifts in implied volatility (Vega). This strategy provides the flexibility to adjust positions as market conditions evolve, making it suitable for neutral to slightly volatile market environments. By combining two distinct types of options spreads, the Double Diagonal offers a high-probability approach to generating income while managing risk effectively. Key advantages of the Double Diagonal include:

• Income generation from both time decay and volatility exposure, making it a versatile strategy
• The ability to adjust your positions and fine-tune your exposure to market movements
• A mechanical, repeatable process for consistent profits with defined risk
• Ideal for traders looking for low-maintenance strategies that require minimal monitoring and offer scalable opportunities
• Suitable for traders who want to trade complex positions while still benefiting from high-probability setups in slightly volatile or neutral markets

Who This Course Is For:

• Advanced options traders who have experience with basic strategies such as vertical spreads and calendar spreads and want to learn how to combine these for more profitable setups
• Traders seeking to capitalize on time decay and volatility in neutral to slightly volatile market conditions
• Those looking to scale their options trading with a high-probability, low-risk strategy that adapts to changing market environments
• Investors who want to create a dynamic, multi-faceted trading plan and incorporate a strategy that works across multiple market conditions
• Traders who enjoy complex, nuanced strategies and are ready to dive deeper into the adjustment techniques required to maintain profitable positions

About Dan Sheridan:
Dan Sheridan is a veteran options trader with over 30 years of experience in the markets. As a former market maker at the Chicago Board Options Exchange (CBOE) and the founder of Sheridan Options Mentoring, Dan has trained thousands of traders how to successfully trade options with strategies that minimize risk and maximize returns. Known for his clear, structured teaching style, Dan specializes in helping traders develop disciplined, systematic trading plans that lead to consistent profitability. His expertise in advanced options strategies like the Double Diagonal has helped traders adapt to varying market conditions while managing risk and optimizing returns.