Stock / Symbol: [private_monthly]S&P 500 / SPX[private_monthly]
Option Strategy: iron condor
Max Profit: $320
Max Risk: $1680
Max Return: 19%
Profit Range: $1118 - 1246
Max Profit between: $1120 - 1245
Reasoning: We're using this strategy to take advantage of the recent volatility increase in the market / increase in option premiums.
Note: our optionwiz brokerage account is pretty much maxed out so we'll be trading this in a separate account.
Trade Details:
[private_monthly]
Buy 2 SPX Dec10 1110 Put $4.74 $948.00
Sell -2 SPX Dec10 1120 Put $5.75 ($1,150.00)
Sell -2 SPX Dec10 1245 Call $1.68 ($336.00)
Buy 2 SPX Dec10 1255 Call $0.86 $172.00
for a net credit of $1.60 per contract or a total of $320 (use Good Till Cancelled limit order)
Requirements:
Cost/Proceeds ($320.00) Credit
Option Requirement $2,000.00
Total Requirements $1,680
Estimated Commission $12.95
[/private_monthly]
Chart:[private_monthly]
Flash Player 9 or higher is required to view the chart Click here to download Flash Player now[/private_monthly]
Speak Your Mind