Stock / Symbol: S&P 500 INDEX / SPX
Trade entered on: May 11
Price at trade entry: $1339.47
Trade exited on: May 13
Price at trade exit: $1337.77
Option Strategy: iron condor
Analysis: This trade had a 97% probability of success and it didn't disappoint. With the weekly options expiring today and with the SPX comfortably within the 1300 -- 1365 range, the puts and calls we sold expired worthless. The puts and calls we purchased also expired worthless, but we don't care because we only purchased them to limit our risk on the trade. With the options expiring worthless, we get to keep the entire premium received when we opened the trade for a 6.38% return in just one week.
As long as the conditions are right, we'll continue to place a similar trade each week. That's equivalent to 24% per month!!
Max Risk: $940
Realized Reward: $60 or 6.38% (pre-commission)
Profit Range: $1299.70 - $1365.30
Max Profit at: $1300 - $1365
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