SPX Weekly Iron Condor Plan
As those who trade the weekly SPX Iron Condor position are painfully aware, our stop loss has been hit in several recent trades - losses are part of trading. Despite the recent losses, the track record for 2017 is still very favorable. We have had 21 gains and 8 losses this year, with an average return per week of 2.3% including losses and weeks not entered.
However, until the VIX is consistently above 11, I don't feel it is wise risk management to continue with the trade. I have cautioned those taking this trade in recent weeks to consider reducing position size; with the VIX so low it has been difficult to obtain decent premium for what I see as a favorable risk/reward. I apologize if this disappoints those subscribers who look for a trade entry every week, but I don't want to continue risking capital in this market for such a short term trade.
We will continue with the monthly trades, and reinstate the SPX weekly Iron Condor at the when it is a better market environment.
As always, feel free to email me with any questions.