FXE – 10/3/18 – Broken Wing Iron Condor
When I can find opportunities I like to trade FXE because it trends well. Finding premium can be a challenge, however.
On 10/3 with FXE trading at $110.26 and Implied Volatility at 54.75 I was able to get into a Broken Wind Iron Condor with no upside risk and a probability of success of about 73.26%. My breakeven on the down side was at $108.70.
I sold the 11/16 $110 Call and purchased the $111 Call while selling the $110 Put and buying the $106 Put to cover it for a credit of $1.28. My risk was $272.00 to the downside, and $0.00 to the upside. I put in a GTC order for $.62 and waited.
FXE did not cooperate with my great plans to make money. It moved down consistently showing losses on the trade. On 11/8 I got a spike up so after 36 days I decided to close the trade for small profit.
I made $18.00 on my $272.00 risk or about 6.62%.
| Date | EXP | Strike | Price | Ct | C/P | Cost | Balance | |
| 10/03/18 | SO | 11/16/18 | $110.00 | $1.44 | 1 | C | $144.00 | $144.00 |
| 10/03/18 | BO | 11/16/18 | $111.00 | $0.93 | 1 | C | -$93.00 | $51.00 |
| 10/03/18 | SO | 11/16/18 | $110.00 | $0.93 | 1 | P | $93.00 | $144.00 |
| 10/03/18 | BO | 11/16/18 | $106.00 | $0.16 | 1 | P | -$20.00 | $124.00 |
| 11/8/18 | BC | 11/16/18 | $110.00 | $0.25 | 1 | C | -$25.00 | $99.00 |
| 11/08/18 | SC | 11/16/18 | $111.00 | $0.05 | 1 | C | $5.00 | $104.00 |
| 11/08/18 | BC | 11/16/18 | $110.00 | $0.83 | 1 | P | -$83.00 | $21.00 |
| 11/08/18 | SC | 11/16/18 | $106.00 | $0.01 | 1 | P | -$3.00 | $22.00 |
| Profit of: | $18.00 |
