Contraction News Entry Confidence Threshold

Setting key
contraction_news_entry_confidence_threshold
Default
HIGH (0.80)

What it does

Minimum Claude news classifier confidence score required to trigger a contraction news entry. The contraction engine has an optional offensive mode (gated off by default) where a high-confidence news headline about a specific company can trigger a short-dated entry on that name. This threshold controls how confident the classifier must be before the entry fires. At 0.75, the classifier must be at least 75% confident in the directional signal.

When to change it

Raise to 0.85-0.90 to require very high confidence before news-triggered entries. Lower to 0.65 to allow more entries on moderate confidence signals. This setting only matters when contraction_news_entry_enabled is ON; that feature is off by default pending live validation.

Safe range

0.60 (more entries, lower confidence required) to 0.95 (very selective). Default 0.75 is a reasonable starting point once the feature is enabled.

Example

News classifier rates a headline as 0.82 confidence bearish for TSLA. With threshold=0.75, the signal clears the gate and a contraction entry is evaluated. With threshold=0.85, this signal is skipped.

Financial Information Disclaimer

This site provides general information about ACondor, a software tool for automating options trading strategies. Nothing on this site is investment, tax, or financial advice. Options trading involves substantial risk of loss. Past behavior of any strategy does not guarantee future results. Consult a licensed financial professional before trading options. ACondor may earn a commission from affiliate links at no extra cost to you.