Recommended trade entry for Monday, June 6
SPY Iron Condor for July monthly cycle, expiring July 15
Recommended Trade Entry:
- SELL SPY July 217 Call, currently $.37. Delta of short call: .15.
- BUY SPY July 222 Call, currently $.06.
- SELL SPY July 201 Put, currently $1.21. Delta of short put: -.18
- BUY SPY July 196 Put, currently $.70
It is recommended to place the order as a single entry: SELL " Iron Condor".
Current mid price for all four legs: $.82. We recommend trying to get filled for the mid price or a few cents below, as the minimum recommended credit for this trade is $.80. Please note that because the volatility is so low, we are not able to get as wide as usual on this position in order to receive the minimum credit. In looking back at our trade records, we normally have around 20 points between the short strikes. In order to receive the minimum .80 credit, this position will have 16 points between the short strikes of 217 and 201. Traders entering this play should be aware of the increased risk, gauge position size accordingly, or choose to sit on the sidelines.
Update will be posted with exact position details when the order is executed.
As always, stay keen on your risk management and trade carefully,