Stock Symbol: [private_monthly]SPX[/private_monthly]
Price at time of Trade: [private_monthly]$1100.34[/private_monthly]
Target Date: September 17th - September options expiration
Target Price: [private_monthly]1040 to 1115[/private_monthly]
Option Strategy: Iron Condor with September expiration options
Risk: low
Max Risk: $846
Max Reward: $154
Max Return: 18.20% (before commissions)
Reasoning:Expect that [private_monthly]the S&P 500[/private_monthly] will not move higher than [private_monthly]1135[/private_monthly] (a 3.18% move) or below [private_monthly]1020[/private_monthly] (a 7.3% move) before next Friday when these options expire. After commissions, this trade will net us a 16.67% gain in just 9 days.
Trade Details:[private_monthly]
Buy 2 SPX SEP10 1015 PUT @ $0.85 $170.00
Sell -2 SPX SEP10 1020 PUT @ $0.95 ($190.00)
Sell -2 SPX SEP10 1135 CALL @ $1.52 ($304.00)
Buy 2 SPX SEP10 1140 CALL @ $0.85 $170.00
Set the Limit/Credit to $0.80 per contract
Requirements
Cost/Proceeds ($154.00)
Option Requirement $1,000.00
Total Requirements $846.00
Estimated Commission $12.95
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Chart:[private_monthly]
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