Beta-Weighted Delta Band
What it does
How far the account may lean before the gate above starts steering. Expressed as a percentage of net liquidation value per one-point move in the S&P. Inside the band any qualifying trade is allowed; outside it, only trades that reduce the imbalance pass.
When to change it
Widen it if you want the bot to trade more freely and accept a more one-sided book. Tighten it toward a stricter delta-neutral posture, but be aware that a very tight band on a small account can be exceeded by a single position, which would leave the gate permanently engaged.
Safe range
0.5% (tight, close to delta-neutral) to 2% (permissive). Below roughly 0.3% a single one-lot position can exceed the band on a small account.
Example
$50,000 account with a 1% band. The account may lean up to $500 of profit or loss per one-point S&P move before the gate begins requiring balancing trades.