Contraction POP Floor Value
Setting key
contraction_pop_floor_value
Default
0.65
What it does
The minimum POP threshold for contraction engine entries when the contraction POP floor is enabled. The default 0.65 is calibrated for 16-delta short strikes, contraction's typical delta selection. At 0.65, standard contraction condors (0.68 POP) pass while any entries with wider short strikes that drift below 0.65 are rejected.
When to change it
Adjust based on measured POP values from contraction entries in live trading. The 0.65 default is a reasonable starting point for 16-delta structures.
Safe range
0.50 (permissive) to 0.80 (strict). Only meaningful when contraction_pop_floor_enabled is ON.
Example
Contraction floor = 0.65. Standard 16-delta iron condor: POP = 0.68, passes. If short deltas drift to 0.20 due to market skew: POP = 0.60, rejected.