Directional Profit Target %
Setting key
directional_profit_target_pct
Default
82%
What it does
Profit target as a percent of maximum profit (or return-on-risk for uncapped structures like outright long calls). 82% follows tastytrade's guidance for taking 80-85% of max profit on defined-risk debit spreads. You capture most of the gain while avoiding the risk of a winner reversing near expiration.
When to change it
Lower to 50-65% to exit faster with more certainty. Raise only if you have evidence that the final 15-20% of profit is reliably achievable without added risk.
Safe range
50% (fast, lower gain) to 90% (hold longer, higher gain but more reversion risk).
Example
Bull call spread entered for $1.50 debit, max value $5.00. Max profit = $3.50. Profit target at 82% = close when P&L reaches approximately $2.87 per contract.