RUT Iron Condor – May 12, 2016

by Jeff on May 12, 2016

magenta_shadow_iconThis is a quick post to let you know that I closed the Put leg of my May Iron Condor on RUT. I did that to eliminate any downside risk on RUT for what I anticipate to be a significant move in the Bearish direction for RUT, in particular.

5-12-2016 3-07-44 PM

I collected 0.75 when I opened the trade and it cost me 0.33 to buy it back – a nice little profit. Now all I need is for RUT to move below 1100 next week so that I can claim close to 100% profit on the trade. It has taken a long time to get to this point (since 2/24 when I initially opened the 1100/1120 Bear Call). I rolled to the same strikes, different expiration on 4/5 – trying to give it more time to move back down into what I perceived as a negative trend (see RUT chart below).

5-12-2016 3-11-42 PM

I hope to post a video this week with more detail. I also will do the same roll from MAY to JUN as I did from APR to MAY, if needed. Stay tuned.

Here is the current risk profile:

5-12-2016 3-13-34 PM

Be Prepared and Happy Trading

◄Jeff►

 

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