Market Measures - August 7, 2025 - Zero DTE Winners and Losers For Iron Flies

The tastylive network

Tastylive hosts Tom Sosnoff and Tony Battista analyzed zero DTE iron fly strategies, sharing research on optimal approaches based on two years of backtesting data. Trading these at 9 a.m. with $10, $20, and $30 wings reveals varying win rates based on profit targets. Key findings show that iron flies with $20 wings targeting 10% profit achieve a 78% win rate, while more aggressive 20% targets win 61% of the time but with larger average profits ($177 vs. $92). The hosts demonstrated the strategy live by executing an SPX iron fly with $20 wings for $13.75 credit. Research indicates Thursday is the worst day for zero DTE trades. The hosts emphasized early profit-taking as crucial for success, noting "there's no wrong way to sell zero DTE premium as long as profits are captured early."