Santa Clause took the credit away for the SPX December 4 weekly trade entry.
As of this morning, there is not sufficient credit for a new weekly trade entry. SPX is currently trading at 1817.61, and the 20 Day EMA is 1797.58. As per the guidelines, this would call for this week's trade entry to be a Put Credit Spread.
However, as of this writing the 1790 put, which is a -.15 delta, is only .60 credit. This is below the minimum recommended credit of .75. It appears that with the shortened Holiday trading week, the market markers have taken out decay earlier than normal.
Unless I see something change during the day, I am not recommending a new trade entry for the December 4 cycle. I will post an update if the deltas and credit fall within the guidelines. Otherwise, I will sit on the sidelines, enjoy the Holiday, and look forward to a new trade entry next week.
IWM January Iron Condor
The closing order just triggered to exit this position for a debit of .40. This represented a gain of $43, or 10.3% of margin.
I want to take this opportunity to wish each and every one of you a very Happy Holiday Season!
The next trade entry for the SPX weekly trade will be Thursday, December 26, as long as market conditions are within the guidelines. I will post an update next week.
I want to take this opportunity to wish each and every one of you a very Happy Holiday Season! As I look ahead to 2014, if there are any trades you would like me to consider for the newsletter, please send me an email. I am always open to suggestions from our readers.
As always, stay keen on your risk management and trade carefully.