25 point wide spreads on the August 31 SPX options were not available above 2250. The next strike price above that was 2300. So, I ended up going to regular monthly expiration options:
Trade Details:
Buy 20 SPX August 1750 Puts (@12.60)
Sell 20 SPX August 1760 Puts (@13.25)
Sell 14 SPX August 2250 Calls (@5.80)
Buy 14 SPX August 2260 Calls (@4.90)
Net Credit: 0.65 from Put spreads, 0.90 from Call spreads. Total $2,560
Max Risk: $17,440 to the downside, $11,440 to the upside.
SPX Chart at market close for future reference:
(Click on image to enlarge)
Check out 2016 Track Record
Initiated Aug $SPX 1750/1760/2250/2260 unbalanced Iron Condor position. 0.90 credit from Calls, 0.65 credit from Puts— The Lazy Trader (@lazytrading) April 21, 2016
Trade Details:
Buy 20 SPX August 1750 Puts (@12.60)
Sell 20 SPX August 1760 Puts (@13.25)
Sell 14 SPX August 2250 Calls (@5.80)
Buy 14 SPX August 2260 Calls (@4.90)
Net Credit: 0.65 from Put spreads, 0.90 from Call spreads. Total $2,560
Max Risk: $17,440 to the downside, $11,440 to the upside.
SPX Chart at market close for future reference:
(Click on image to enlarge)
Trade Update - May 13, 2016
Buy to Close 14 SPX August 2250 Calls (@0.95)
Sell to Close 14 SPX August 2260 Calls (@0.75)
Net Debit 0.20
These Credit Call spreads had originally been sold for 0.90 credit (Read beginning of this page). Closing for 0.20 represents a net 0.70 gain per spread or 0.70 * 100 * 14 = $980 in dollar terms. We held this position for only 22 days, and almost 80% of the profit was achieved.
Put side still in play but healthy at the 10 delta mark.
Buy to Close 14 SPX August 2250 Calls (@0.95)
Sell to Close 14 SPX August 2260 Calls (@0.75)
Net Debit 0.20
These Credit Call spreads had originally been sold for 0.90 credit (Read beginning of this page). Closing for 0.20 represents a net 0.70 gain per spread or 0.70 * 100 * 14 = $980 in dollar terms. We held this position for only 22 days, and almost 80% of the profit was achieved.
Put side still in play but healthy at the 10 delta mark.
Trade Update - June 30, 2016
Buy to Close 20 SPX August 1760 Puts (@3.45)
Sell to Close 20 SPX August 1750 Puts (@3.25)
Net Debit 0.25
These Credit Put spreads had originally been sold for 0.65 credit (Read beginning of this page). Closing for 0.25 represents a net 0.40 gain per spread or 0.40 * 100 * 20 = $800 in dollar terms. Combining the profits from the Call side, closed more than am onth earlier, the total profit was $1780.
Buy to Close 20 SPX August 1760 Puts (@3.45)
Sell to Close 20 SPX August 1750 Puts (@3.25)
Net Debit 0.25
These Credit Put spreads had originally been sold for 0.65 credit (Read beginning of this page). Closing for 0.25 represents a net 0.40 gain per spread or 0.40 * 100 * 20 = $800 in dollar terms. Combining the profits from the Call side, closed more than am onth earlier, the total profit was $1780.
Check out 2016 Track Record
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