RUT October Iron Butterfly Adjusted to Downside
The downside adjustment for the October position filled for $5.60. Adjustment details are below:
BOUGHT RUT October 1260 Put, 29.40 debit.
SOLD RUT October 1210 Put, 11.20 credit.
SOLD RUT October 1240 Put, 20.10 credit.
BOUGHT RUT October 1190 Put, 7.50 debit.
Net debit (all four legs): $5.60
The graph of the adjusted position is below:
RUT October position after downside adjustment:
The position summary after the adjustment is as follows:
SHORT October 1260 Call
LONG October 1310 Call
SHORT October 1240 Put
LONG October 1190 Put
LONG October 1315 Call bought at trade entry to cut position delta.
The position is now a 20 point wide Iron Condor.
The next adjustment trigger point will be either short strike, depending on overall position status and market conditions.
Trade updates will be posted as appropriate.
As always, stay keen on your risk management and trade carefully,