Today, Wednesday June 5 the market started to look unusually oversold with the McClelan Oscillator hovering -300, and close to only 30% of the stocks above their 20 day moving Average, so I decided to do two things:
First, I closed the RUT 1025/1030 June Bear Call spread for 0.35 debit. This position had been entered for 0.50 credit so the final result is a small 0.15 profit ($60 in 4 contracts).
Then I sold a Credit Put spread in July also betting on a rebound of the markets at this point.
I sold the 890/895 Put credit spread for 0.70 credit (4 contracts per leg) for maximum credit of $280.
After these actions there are two positions in June:
SPX 1540/1545/1715/1720 Iron Condor ($350 credit)
RUT 905/910 Bull Put spread ($200 credit)
and two positions in July
SPX 1505/1510 Bull Put spread ($160 credit)
RUT 890/895 Bull Put spread ($280 credit)
Related Articles:
Weekend Portfolio Analysis (June 8, 2013)
Weekend Portfolio Analysis (June 14, 2013)
Weekend Portfolio Analysis (June 21, 2013)
First, I closed the RUT 1025/1030 June Bear Call spread for 0.35 debit. This position had been entered for 0.50 credit so the final result is a small 0.15 profit ($60 in 4 contracts).
Then I sold a Credit Put spread in July also betting on a rebound of the markets at this point.
I sold the 890/895 Put credit spread for 0.70 credit (4 contracts per leg) for maximum credit of $280.
After these actions there are two positions in June:
SPX 1540/1545/1715/1720 Iron Condor ($350 credit)
RUT 905/910 Bull Put spread ($200 credit)
and two positions in July
SPX 1505/1510 Bull Put spread ($160 credit)
RUT 890/895 Bull Put spread ($280 credit)
Related Articles:
Weekend Portfolio Analysis (June 8, 2013)
Weekend Portfolio Analysis (June 14, 2013)
Weekend Portfolio Analysis (June 21, 2013)
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