May 042015

– SOLD IRON CONDOR SPX 100 JUN 15 2155/2165/2005/1995 CALL/PUT @4.55
Well, as discussed on the last Trade Buddies Live we found that the buying power of an SPX iron condor was much lower than the SPY strangles. I put on a couple of them today.

Here’s a little discussion when asking the MarketCast chat room about trading the SPX.

14:04 JVonD: Anyone have any cautions doing SPX iron condors? Just curious. Seems like a nice trade.
14:05 Mark: JVon – I tried for quality fills for 4 days, and never got em – no me gusta SPX
14:06 √√AnnAbabe√√: JV cautions?
14:06 JVonD: Thanks Mark. I got filled on some today a few clicks under mid price… Not to sure about them but it seems a lot nicer than my SPY strangles. Less buying power, just weird spreads.
14:06 √√AnnAbabe√√: don’t do SPX options > tough to fill and tought to out fill
14:06 Mark: and JVon.. the ‘income trade’ of IC’ing the big indies, has been touted for a long time… make nice conservative 5% / month.. then once, every 1 months, get et snmooooshed, and lose it all, and more
14:07 Mark: RUT is the index they used to tought the most
14:07 JVonD: cool thanks a bunch.

5/7/15 – BUY IRON CONDOR SPX 100 JUN 15 2155/2165/2005/1995 CALL/PUT @4.05
Pulled it off today. That was fast!  Thing is, the market looks extremely week in my mind and it is to risky to stay in.  If this thing were to tank the volatility would probably pop huge and blow out my pricing and I’d be stuck in the trade through an entire crash or would need to bail and I wouldn’t want to sit on it for possibly months by rolling my put side. %10 profit.

Apr 012014

My first “Big Boy” Iron Condor options trade –
SELL IRON CONDOR NFLX 100 MAY 14 395/425/320/290 CALL/PUT @13.47 LMT ISE
The concept is to sell it early (around 2 weeks out) and collect about 1/3 of it’s long value.
This is a much less risky trade than my previous listed trades. High probability of winning this one (maybe %84) where the verticals I had done in the past are more like a 50/50 gamble. Plus there is a way to close half the trade for later moves. Wish me luck…

Basically NFLX would have to move over $50 (share price in either direction) fast! for me to lose out. It is possible. I’m planning on selling before their next report which will be at the beginning of June so, unless there is some crazy news, I don’t see a lot of movement in the near future.

4/3/14 – Here’s current charts.

What/Why? I’m always trying to teach myself new options concepts. I’m doing my own version of trades that were researched on this TastyTrade video.

4/4/14 – Bad day for the NQ. NFLX getting punished. Down about 5%. Still at a safe level for the trade. No particular news on the stock to drive it lower which should may lead to a bounce back next week when there’s a rally opportunity. Is it a full crash..? Doubt it here.

4/14/14 – Still holding this position. Hoping it pops off of positive news. Planning on selling this position before the report which occurs on 4/21/14 following market close. If I can sell this thing right around at it’s share price of 350/360 I’ll be happy otherwise it probably won’t be worth it. Either a measly profit or just break even I’m hoping for right now.

4/15/14 – I bought back the position  at around 315 this morning to avoid a possible big loss. Well, it didn’t work out. It was a bad trade anyway. Should have brought my call spread down more when I initiated. Better safe than sorry I guess. I will most likely do this type of trade at the end of the month.