Petro-Lwa Strategy III · User Manual

The Bull Call Spread Ladder

Directional bull · Defined entry cost · Early-trend leverage

What is this strategy?

The Bull Call Ladder is a leveraged bullish bet you build for cheap. You buy one call near the current price, then sell two calls further up to fund the buy. The two short calls pay for the long one, often netting near zero cost. You profit as price climbs into your "sweet zone" between the strikes. The trade-off: if BTC goes parabolic past your top short strike you owe money — so Petro-Lwa only arms this in the early stages of a trend, not at the top.

When does it trigger?

The Pine indicator PETRO-LWA-III.pine fires when all of these are true on the closed bar:

SignalDefault
Price > EMA50 > EMA200 (textbook bull stack)true
Price > EMA20 (fresh momentum)true
RSI(14) below max threshold (not overheated)< 70
IV Rank not yet extreme< 65

Translation: the bull trend is real, momentum is healthy, and option premium isn't yet overpriced.

1

Download the Pine script

Click below to grab PETRO-LWA-III.pine.

⬇ Download PETRO-LWA-III.pine
2

Install on TradingView

Open a BTC or ETH chart. Click Pine Editor, paste the script, Save, then Add to chart.

▼ Pine Editor TradingView //@version=6 indicator("PETRO-LWA III · Bull Ladder") trend_bull = close > ema50 > ema200 setup = trend_bull and rsi < 70 and iv_rank < 65 label.new("🟢 III · BULL LADDER") [Save] [Add to chart] CHART · BTCUSD ⤴ 🟢 BULL LADDER + ADD TO CHART
3

Read the chart label

A green up-triangle and label drop under the bar with the live RSI and IV rank values, confirming the bull regime is intact and the entry is fresh.

🟢 III · BULL LADDER RSI 62 · IV 38 trend healthy · enter the spread now BTC/USD · 1D
4

Set up the alert

Right-click → Add alert. Condition: “PETRO III · Bull Ladder”. Paste your bridge URL into the webhook field.

Create Alert CONDITION PETRO·III ▸ PETRO III · Bull Ladder ▸ Once Per Bar Close WEBHOOK URL https://lasiren-bridge.cryptolwa.app/alert MESSAGE {{ticker}} bull ladder armed rsi {{plot}} CREATE
5

Execute the options trade on Deribit

Pick an expiry 30-60 days out. Buy 1 ATM call. Sell 1 call at +15%. Sell 1 call at +30%. Aim for net zero cost or a small credit. Exit if price reaches the middle short strike (take profit) or unravels above the top strike (cut the loss).

DERIBIT · BTC CALL LADDER · 45 DTE SPOT $100,000 · buy 1 / sell 2 / net cost near zero CALL ACTION STRIKE PREMIUM ▶ BUY 1 CALL 100k ATM - 4,200 (debit) ◀ SELL 1 CALL 115k +15% + 1,800 (credit) ◀ SELL 1 CALL 130k +30% + 2,300 (credit) NET COST ≈ -100 USD · ladder paid by itself ⚠ Hard stop if price closes above 130k — uncapped loss above top strike

Risk profile

Max LossUncapped Above Top Strike
Max RewardSpread Width
Best MarketEarly Bull · Steady Climb

When NOT to use this

  • Parabolic top conditions — RSI > 80, vertical price action, retail FOMO. The upper strikes will get blown through.
  • Bear or sideways tape — no trend, no profit; the time decay nibbles away at your long call.
  • Without a hard stop above the top strike — the loss is unbounded; never set and forget.

Plain-English glossary

Bull SpreadA long lower-strike option and a short higher-strike option of the same type.
LadderThe same idea extended by a second sold leg further up, paying for the first.
Credit / Debit"Credit" = you receive cash to open. "Debit" = you pay cash to open.
RSI0-100 momentum gauge. > 70 = overbought, < 30 = oversold.
EMAExponential Moving Average — a smoothed price line favouring recent bars.
IV Rank0-100 percentile of current volatility vs. the last 12 months.
Sweet ZoneThe price range where a spread reaches its maximum payoff.
UnravelClosing all legs of a spread manually before it reaches expiry.