The waters are still way too dangerous for a new short term trade entry such as the SPX Weekly Iron Condor.
Some of you may be thinking "will she EVER recommend a weekly trade entry again"? The answer to the question is yes, I do plan to re-enter the SPX weekly Iron Condor into the trade plan when I feel the water is "safe".
Earlier this week I was considering recommending a trade entry for the September monthly cycle. However, the intra-day volatility and global fears over China are telling me to sit on the sidelines once again. As I prepared for the weekend's update and checked the economic news for next week, I see that China's Industrial Production report is due out Saturday. That is a further indication to me to not risk my hard earned capital this weekend.
SPX 6 month chart
The SPX chart is showing signs of consolidation, so we could be heading to a breakout in either direction. Whether it will be news from China, or the FOMC decision that triggers this remains to be seen.
In the meantime, we will continue to sit on the sidelines for a short term trade entry and re-evaluate at the end of next week. We have the SPY October monthly position on, and will manage that as per the guidelines.
For those unfamiliar with the strategy, the trade management guidelines for all the Couch Potato Trader plays were most recently published on August 20, 2015 and can be found here:
Link to Articles
Please feel free to email me with any questions you may have.
As always, stay keen on your risk management and trade carefully,