The trade: Synthetic Call Ratio spread on QQQ for $.50 credit per contract.
Bought one 134 Call for every two 135 Call for a 2:1 Ratio spread with no risk to the downside and our max win at 135. Then bought the 141 Call to reduce the capital requirement, essentially making this a synthetic Call ratio spread.
By buying the delta .05 call we reduce our capital requirements for the trade from around $3k to $450 per contract and reduce our credit received by only $5 per contract. Pretty good trade off in my mind.
Our break even is at $136.5 giving us a 74% chance we make money on this trade.
Then Roll the other Challenged Calls (@135) to Jun (39 DTE) for an additional $0.83 credit per contract. Then Sold the same amount of Qty of puts @ 135 (For $1.12 ea) and now we have a Directional Straddle.
A defined risk strategy would be one where you Sell an option and then Buy another option farther away from the money (which would make it cheaper), so for example lets say you are bullish in XYZ, you can sell a Put and then buy a farther away from the money Put and you will get a credit (the difference in price between the options). That strategy is called a Put Credit Spread (names are not important) and the credit received would be your potential profit (If you received $0.50 then you get to keep $50 per contract if the options expire worthless).
You will be able to chose your probabilities depending on how far from the money you sell the Put, and your risk would be the distance between the one that you sell vs the one that you buy (since after that point they cancel each other and you no longer have risk).
If you don't want to pick direction then you can do the same thing to the down side too. So you can have 2 credit spreads one with Calls and the other with Puts (that strategy is called an Iron Condor) and you make money if the price end up between the two options that you sold.
Hope that helps.