V – 9/13/18 – Broken Wing Iron Condor

 

V – 9/13/18 – Broken Wind Iron Condor

This was part of a series of trades I did in V working different strategies to take advantage of V’s run up to highs and pull back. I felt there was more downward pressure and it would be difficult for V to break to new highs over the course of this trade.

I entered this trade with V at 147.29 with no downside risk and a break even on the upside of $153.69 which would have been a new 52 week high.

The implied volatility when I entered the trade was 15.88 and I was showing a 74% chance of a successful trade if held until expiration. My risk was $390.00 and my max profit would have been $360.00 in a perfect world but I only wanted about a third of that when I set my GTC order.

I purchased the 10/26 $152.50 Call while selling the $155.00 Call. On the Put side I sold the $150.00 Put and purchased the $149.00 Put.

On 10/8 after 25 days my GTC order was hit and I closed this trade for a $120.00 profit or 30.77%. I wish I had these types of trades everyday.

Date EXP Strike Price Ct C/P Cost Balance
09/13/18 SO 10/26/18 $152.50 $1.74 3 C $522.00 $522.00
09/13/18 BO 10/26/18 $155.00 $1.09 3 C -$327.00 $195.00
09/13/18 SO 10/26/18 $150.00 $5.00 3 P $1,500.00 $1,695.00
09/13/18 BO 10/26/18 $149.00 $4.45 3 P -$1,335.00 $360.00
10/08/18 BC 10/26/18 $152.50 $0.61 3 C -$183.00 $177.00
10/08/18 SC 10/26/18 $155.00 $0.31 3 C $93.00 $270.00
10/08/18 BC 10/26/18 $150.00 $6.85 3 P -$2,055.00 -$1,785.00
10/08/18 SC 10/26/18 $149.00 $6.35 3 P $1,905.00 $120.00
Profit of: $120.00

 

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