Recommended trade entry for Monday, July 11
SPY Iron Condor for August monthly cycle, expiring August 19
Recommended Trade Entry:
- SELL SPY August 219 Call, currently $.70. Delta of short call: .18.
- BUY SPY August 224 Call, currently $.15.
- SELL SPY August 202 Put, currently $.84. Delta of short put: -.15
- BUY SPY August 197 Put, currently $.51
It is recommended to place the order as a single entry: SELL " Iron Condor".
Current mid price for all four legs: $.88. We recommend trying to get filled for the mid price or a few cents below; 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 17 points between the short strikes of 219 and 202. Traders entering this play should be aware of the increased risk and plan your position size accordingly.
Update will be posted with exact position details when the order is executed.
As always, stay keen on your risk management and trade carefully,