I'm a beginner to Theta Gang options trading and I've been looking to place some Put Credit Spreads.
I was intrigued to understand more about the probability of profit that my brokers' app provides, and if this actually means the spread is a good one to take.
I wanted to try to convert the probability into an expectation, so that I can check the expectation is positive, meaning I should have profit in the long run.
This is a learning exercise. I don't know if the code I wrote to calculate the probability is correct. There are very likely some bugs and misunderstandings, so don't make this code the basis of any investment decisions.
Use Python 3.5+ and run pip install -r requirements.txt.
Then run jupyter notebook in the terminal and navigate to localhost:8888 in your browser.