Open Position update: SPX Iron Condor Test Position for July 1 Cycle.

Friday SPX ended the week closing at 1960.96, after a relatively mellow day compared to some recent ones. I mentioned when I entered this test position yesterday that I did have concerns to the upside; the graph below confirms my worries.

SPX Weekly Iron Condor for July 1

The SPX 6 month chart is shown below, indicating the short strikes.

SPX 6 month chart

The short 1980 call delta is still only .12, but is now just 20 points away from the underlying. The position could use a pullback Monday, or at least a quiet open. I will keep the position open until the middle of the week as long as it remains within the guidelines. I will exit the position at target gain (7%), max loss (10%), or if SPX reaches either short strike.

This position will be closed regardless before the end of the day Wednesday. Thursday brings economic news that could shake up the markets:

8:30 am Non Farms Payroll

8:30 am International Trade

8:30 am ECB Press Conference regarding interest rate decision

1:00 pm Early close for Fourth of July Holiday

An update will be posted early next week.

As always, stay keen on your risk management and trade carefully,

Dot Hazlin