SPX Weekly Iron Condor Closed; Stop Loss Hit
Our stop loss exit order triggered this morning; position closed as follows:
- BOUGHT SPX March 2 2125 Call, .15 Debit.
- SOLD SPX March 2 2135 Call, .15 Credit..
- BOUGHT SPX March 2 2045 Put, 8.00 Debit.
- SOLD SPX March 2 2035 Put, 5.60 Credit.
Closing order executed as a single order: BUY " Iron Condor" .
Net Debit to Close Iron Condor: $2.40 (all four legs.)
Net Credit to Enter Iron Condor: $1.55 (all four legs)
(Loss): Loss of $(85).
This represented 10.0% of the margin/risk and the pre-set max loss per the guidelines for the trade. Some traders may choose to stay in and "hope" for a bounce; however, my risk management is to cut my losses before they could accelerate and move on to the next trade. This is the second time we have had to take a loss on the weekly Iron Condor this year; but the year-to-date results are still positive so we will continue to keep the trade in the plan.
As always, stay keen on your risk management and trade carefully,