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BookingAlpha Option Trading Advisory

Monday, October 21, 2019

December SPX Unbalanced Iron Condor

Trade Details:

8 December SPX 2720/2725 Credit Put spread @0.35 credit each
1 December SPX 3160/3170 Credit Call spread @1.00 credit

The Put side is 5-points wide this time due to liquidity issues. I wasn't getting the fill on a 2715/2725 spread. So, I went with a 5-point wide (2720/2725) and doubled the number of spreads. Risk-wise it is almost as if I was trading my usual   4 to 1  (4 Put spreads vs 1 Call spreads both 10-point wide)
Net Credit: $380
Max Risk: $3,620
59 days to Exp.

Profit/Risk Profile


SPX Chart for future reference:



Trade Update - November 12, 2019

Closed Call side:
1 December SPX 3160/3170 Credit Call spread @2.70 debit

Original Credit received was 1.00
Net loss of 1.70 = $170 for one spread.

The Put side is still in play and with its credit of $280 it will be more than enough to overcome this loss on the Call side.



Trade Update - December 2, 2019

Closed Put side

8 December SPX 2720/2725 Credit Put spread @0.05 debit each

Original credit received was 0.35 per spread.
Net gain: 0.30 per :  $30 * 8 = $240

Combining this profit with the earlier loss suffered on the Call side, we made a net $70 profit. Which represents a small +1.9% Return on Initial Risk of $3,620.



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