OPENING: CL1! JAN 15TH 49.5/50.5/65/65.5 IRON CONDOR (LATE POST)... for a $150 credit.
Notes: A slightly long delta iron condor to cut net short delta. You can either skew equally width'd sides or sell one side wider than the other; doing the latter here for the adjustment.
Ironcondor
VNQ - Iron CondorThis is a study I wanted to do on strikes with abnormally high open interest and if it affects underlying price movement.
VNQ has pulled back from its ATH to inside the ATB neutral zone.
It also closed with a bearish engulfing candle signaling high probability of sideways to downward trend in next 30-45 days.
Testing a horizontal Iron Condor strategy based on strikes with Highest Open Interest on Monthly Expirations of Dec and Jan 2020.
Option Profit Calculator: opcalc.com
buy 20th Dec $86.00 Put $0.43 $-43.00 (99% of Total OI)
sell 20th Dec $90.00 Put $1.53 $153.00 (99% of Total OI)
sell 17th Jan $90.00 Call $2.08 $208.00 (99% of Total OI)
buy 17th Jan $95.00 Call $0.22 $-22.00 (95% of Total OI)
Credit: $296.00
Collateral: $500.00
Maximum risk: $204 at a price of $101.67 on 20th Dec 2019
Maximum return: $187 at a price of $90 at expiry
Break-evens at expiry: $92.97, $87.27
VNQ needs to stay inside the red bars for profit.
Green line indicates max profit line on a daily basis until expiration.
OPENING: GC DEC 26TH 1535/1545 SHORT CALL VERTICAL... for a 1.10 ($110 credit).
Notes: A delta hedge with price pushing into the put side. Scratch for the whole shebang at 6.20.
CLOSING: /CL DEC 16TH 49/50/64/65 IRON CONDOR... for a 1.80 ($180) debit; .70 ($70) profit; 28% max with 39 days to go.
Notes: Taking off some risk in the December cycle. Still have the depicted setups on in January and February ... .
SHOP iron condorShop IC EXP Dec 20
Credit was $150 max loss is also $150
Max gain will be $55 as its deltas are 0.28 and 0.16
I bought 2 spreads
245/250/335/340
Wide IC due to IV looks profitable. Risk is low, looks like it will trend down a bit.
TSLA Iron CondorSince IV is high on tesla I'm putting on BOLD play.
This looks like low risk high reward.
270/275/360/365 Iron Condor Exp Dec 20th. 3 spreads. Credit per spread was 1.43 5 point wide.
Credit collected is $429 this will be my max loss.
30 delta call and 16 delta put I want to take my profits at around 30% max credit which will be $130 profit.
This looks like an awesome trade.
OPENING: /GC1! DEC 26TH 1455/1465/1610/1620 IRON CONDOR... for a 3.30 credit.
Notes: A small pop in GVX here, and I'm back to the well, collecting one-third the width of the wings. Not looking for a ton out of this ... . Just looking to deploy some buying power in this broad market volatility lull.
OPENING: GC1! DEC 26TH 1420/1430/1620/1630 IRON CONDORfor a 2.40 credit.
Metrics:
Max Profit: $240
Max Loss: $760
Buying Power Effect on SPAN: ~$300
Break Evens: 1427.60/1622.40
Notes: Back to the /GC (59/14) well with a delta neutral iron condor with the shorties at the 16's. Looking for 1.20 out of this position (50% maximum).
MSFT earnings play with Iron condorMSFT is set to report Wed oct 23 after close and I have set up an Iron condor, based on 5% Implied move. On Oct 18th, I STO Nov 1 Calls 142/144 and Nov 1 STO 132/130 Puts and received 90c credit. MSFT has not missed earnings in 13 quarters. It has been coiled for awhile, so it my move more than normal. GL!
$CAG Iron Condor$CAG Iron Condor
Buy: 10/18 32c for .27
Sell: 10/18 31c for .49
Sell: 10/18 27p for .47
Buy: 10/18 26p for .28
Net Credit: $0.41 (Max profit if all expire worthless)
Buying Power Reduction: -$0.59 (Max loss on blowout)
Profit Range of $26.59 - $31.41 w/ 55% POP at expiration
CLOSING: GC1! OCT 28TH 1645/1655 SHORT CALL VERTICAL... for a .10 ($10) debit on this rapid down move.
Still have the October 28th (28 days) 1445/1455 short put vertical (the other half of the iron condor), as well as the November 25th (56 days) 1595/1605 short call vertical on, which I put on as a delta hedge.
Scratch now at 2.60 (2.70 minus the .10 debit I paid to take off the call side).
CLOSING: CL1! OCT 17TH 52.5/53.5/60/61 IRON CONDOR,,, for a .40 ($400) debit.
Notes: The last of my October setups. It's a loser, but I'm up small for the cycle by $40, which I'm more than happy with given that mid-September spike we had pretty much right after I put on the setup of which the 60/61 short call vertical was part.
OPENING: CL1! NOV 15TH 48.5/49.5/66.5/67.5 IRON CONDOR... for a .21 ($210) credit.
Notes: Layering on some more in the November cycle at the 15 deltas after this down move. You know the drill: layer on, mix and match profitable sides to close, shoot to exit the cycle profitably.
OPENING: CL1! NOV 15TH 50/51/69/70 IRON CONDOR... for a .21 ($210) credit.
Max Profit: $210
Max Loss: $790
Buying Power Effect: $242
Break Evens: 50.79/69.21
Notes: Starting the November cycle run at 53 days 'til expiry with the same drill as October: layer on, mix and match sides profitably, look to exit cycle in its entirely profitably.
CLOSING: CL1! OCT 17TH 52/53/69.5/70.5 IRON CONDOR... for a .13 debit/.08 ($80) profit.
Notes: Mixing and matching /CL short verticals put on over time in the October cycle profitably. This leaves one iron condor on in the October cycle -- the 52.5/53.5/60/61 with a scratch point for the cycle at .44.
OPENING: QQQ JAN 17TH 154/160/2 X 213/2 X 216 IRON CONDORGoing QQQ "double double" in the smaller accounts ("doubly" wide on the put side as the call, double the contracts on the call side to accommodate skew), 16 delta put side, 8 delta call side. Set up in the expiry in which the at the money short straddle is paying greater than 10% the value of the underlying ... .
Metrics:
Max Profit: $113/setup ($56 at 50% max)
Max Loss/ROC at 50% Max: $487/setup; 11.5% ROC at 50% max
Break Evens: 158.87/213.57
Delta/Theta: -.93/.84
Notes: Will look to take profit at 50% max, adjust on side test/side approaching worthless ... .
OPENING: /CL OCT 17TH 52/53/74.5/75.5 IRON CONDOR ... for a $170/contract credit.
Max Profit: $170/contract
Max Loss: $830/contract
Break Evens: 52.83/74.67
Notes: With background IV at 47.7%, layering on some more in the October cycle. Will treat this as a core position, mixing and matching October cycle short put sides with short call sides where profitable.
Wayfair Iron CondorI put on a great iron condor position on Wayfair
W - Expiry October 18 , 140C/145C/105P/100P
Such a nice spread, Love it.
Price of spread was $145 spread is 5 points
I bought 2 of them. Max gain $190 max gain max loss is $380
Market is move bullish than bearish right now may persist till end of month.
OPENING: /CL OCT 17TH 46/47/60/61 IRON CONDOR ... for a 2.30/contract credit.
Metrics:
Max Profit: $230/contract
50% Max: $115/contract
Max Loss: $770/contract
Break Evens: 46.77/60/23
Notes: A little premium selling in /CL on this OVX pop. Shorties camped out at the 15 deltas. Will look to manage at 50% max, side test, and or side approaching worthless ... .
Boeing Neutral Position - Iron CondorI'm going to run an Iron Condor on BA because its fading toward support and it may hold at this level for some time. IV is pretty high so the trade will be a rather wide IC and quick price target.
300/305/360/365 Spot price is at $341 at this time. Exp will be July 19th.
140/360 Reward to Risk ratio.
Price target is $110/220 Evaluation date will be July 1st.
52-Week (HV): 30, 30-Day IV: 28.2 +1.5
IV Pct Rank: 57%
This is a journal entry and not trade advice.
NFLX Iron Condor TradeI'm putting on an iron condor trade due to fading trend sideways movement may lead to a lower price.
SPY is sinking slowly due to trade tensions.
310/315/375/380 EXP June 21 145/355 Profit/Loss
Max profit I want to take out of this trade is $80 and max loss is $160 as per guidelines drawn.
This is a journal entry and not trading advice.
OPENING: RUT OCT 18TH 1330/1345/1685/1700 IRON CONDOR... for a 2.21 credit.
Metrics:
Max Profit: $221/contract
50 Max: $110/contract
Max Loss/Buying Power Effect: $1279/contract
ROC: 17.3% at Max/8.6% at 50 Max
Break Evens: 1342.79/1687.21
Delta/Theta: -1.31/3.07
Notes: A small, defined, high POP%-age engagement trade. This particular trade isn't very "tasty," since it goes out beyond that 45 days 'til expiry wheelhouse, sells strikes that are farther out of the money (the 10 deltas), doesn't collect nearly one-third the width of the strikes on fill, and isn't put on in an "ideal" premium selling environment. The trade-offs of doing things this way is a higher probability of profit (this one's around 74%), more room to be wrong relative to current price, and a slightly higher implied volatility metric in the back month relative to shorter duration.
I'm choosing RUT here over SPX, NDX, and IWM due to better liquidity relative to the other indices, as well as the lack of assignment risk versus IWM.
Will look to take profit at 50% max and manage intratrade on side test and/or side approaching worthless.
OPENING: RUT SEPT 20TH 1330/1340/1680/1690 IRON CONDOR... for a 1.64/contract credit.
Metrics:
Max Profit: $164/contract
Max Loss: $836/contract
Break Evens: 1338.36/1681.64
Delta/Theta: -.70/2.20
Notes: Granted, this is not a very TT setup, which ordinarily looks to collect one-third the width of the strikes in credit in the expiry nearest 45 days 'til expiration, which generally requires selling the 20-30 delta strikes. As always, there is a trade-off: going wider gives you more room to be wrong and therefore gives you a higher probability of profit (it's 77% here). However, less credit collected means max loss is greater on setup.
Still, a potential 19.6% return on capital (assuming max profit) over a 90-day period is nothing to frown at nor is 9.8% at 50% max, which is what I'll shoot for here.
