This seems generally sound with the context of the simple option day trading strategy. Assuming you are comfortable with it (extremely important), go with it.

That said, I have a couple comments. I would focus exclusively on the calls and put opens themselves. SPY almost always agrees with the underlying call/put direction but that does not mean the call and put agree with SPY. There is Theta, time decay, less day trading, but it is still there and oftentimes SPY is above or below its open but the calls and put are both below their opens.

There are three possible stops as I see it with the strategy.

A reversal through the call of put open. Happens to result in a lot of whipsaws.

The option strike making a new low for the day knocking you out, then watch for your rebound. This is what I use primarily.

And a percentage stop liike you're using. I would make it a strict stop, down 30% and gone. Might want experiment with tighter percentages, 10, 20 percents. Also I would not use a trailing stop because options, except on trending days, swing widely. My experience with trailing stops is they get hit and then the trade goes on it way to a big win with me sitting on the sidelines with a little win or a little loss.

Also, given the volatility in options these days, you might want to use a profit target--100% according the strategy-- to insure a big win for the day.

I hope this is helpful.

Also, could you send me a link to Diego's back test of a "version of your strategy"? I've discussed back testing with him My contention it is virtually impossible to back test this day trading strategy because the strikes and the expiration change every day but he contended he could do it. Either I missed it or he's not sent me his results. He does a lot of good tests on various strategies so I would like to see his result on whatever version of mine he's done.