October RUT Iron Condor order filled.
Order executed for this new position:
- SELL SPX October 1160 Calls.
- BUY SPX October 1210 Calls.
- SELL SPX October 1160 Puts.
- BUY SPX October 1110 Puts.
Order was filled as an "Iron Condor" for $29.70 net credit (all four legs). RUT was trading at approximately 1162 when the order filled.
Margin/Risk is calculated by the width of the wings ($5,000), less credit received.
Margin/Risk for this trade: $2,030.
Target Gain: 5% of the gross margin ($250/contract)
Max loss: 10% of the gross margin ($500/contract)
Below is the risk graph of this week's position as shown on my broker's platform:
RUT October Iron Condor:
The adjustment trigger points for this position are if RUT moves up or down 10 points. Adjustment point on the call side would be if RUT reaches 1170, and the downside adjustment would be at 1150.
For those unfamiliar with the strategy, the trade management guidelines were updated on September 4, and can be found here:
Link to Articles
Trade updates will be posted as appropriate.
As always, stay keen on your risk management and trade carefully,