Allow Wheel is a setting for strategies that follow the DOPE Spreads signal source. It lets you choose whether your strategy takes the trades DOPE marks as "wheel" trades — positions he is intentionally fine getting exercised (assigned) on.
What is a "wheel" trade?
Most of the time an options spread is meant to be opened and then closed for a profit before expiration. But some trades are placed knowing that if the stock lands the wrong way, the position may be assigned — you end up owning (or being short) the underlying shares instead of just closing for cash. DOPE runs those assignments through his longer-term "wheel" strategy on purpose.
When DOPE sends out one of these, he checks a Wheel Trade box on the alert. That tags the trade so your strategy knows it's one of the assignment-friendly ones.
Where you'll find it
The Allow Wheel switch only appears when your strategy's Signal Sources setting is set to DOPE Spreads. Open your strategy settings and look right under the Signal Source dropdown — the switch shows up there as soon as DOPE Spreads is selected. If your strategy follows any other source, there's nothing to configure.
How it works
- Off (the default). Your strategy ignores any alert DOPE flags as a wheel trade. It still takes all of his normal, non-wheel trades exactly as before. Nothing about your regular trading changes.
- On. Your strategy takes wheel trades too, treating them like any other DOPE Spreads alert.
Note
Allow Wheel starts off for every strategy. You have to turn it on yourself to start receiving wheel trades — so if you do nothing, you'll simply skip them.
Example
Say DOPE sends two alerts this morning:
- A put credit spread on SPY — a normal quick trade. Not marked as wheel.
- A cash-secured-style put spread on AAPL that he's happy to be assigned on if AAPL dips. Marked as wheel.
- If your Allow Wheel switch is off, your account takes the SPY trade and quietly skips the AAPL one.
- If it's on, your account takes both.
Warning
Wheel trades carry real assignment risk — turning Allow Wheel on means you're comfortable potentially being assigned the shares (and putting up the capital for them). Only turn it on if that fits your account size and plan.
Changing your mind
Flip the switch and save whenever you like. The change takes effect on the next alert — trades already open are never touched. Turning it off mid-day just means the next wheel-flagged alert is skipped; turning it on means the next one is taken.