Live: Tuesday, June 4, 2019

4:45 p.m. New York time

I’ve posted full results at exit for my short iron condor on AAPL.

3:25 p.m. New York time

My short iron condor position on AAPL turned profitable late in the session, and I exited for a $1.16 debit, producing a small return. Share were trading at $179.52. Full results to come, although most likely after the market close. This is the last of my positions expiring June 21 and puts an end to the “sudden death” phase of those options (see my trading rules).

3:15 p.m. New York time

In addition to the trades I made, I checked out several other prospects, and rejected them without a full analysis:

  • IYR, with a 42.1% implied volatility ratio, is a real estate fund that pays monthly dividends at a fairly high rate, increasing the chances that my position would be assigned.
  • FXE, with a 37.7% IVR, tracks the Euro exchange rate, and the mess that is Brexit gives a lot of headline uncertainty.
  • CSCO, at 38.0%, and XLP, at 45.6%, both have overly high risk/return ratios by my standards.

2:30 p.m. New York time

XLB exit results posted.

2:15 p.m. New York time

SMH analysis posted.

1:50 p.m. New York time

I’ve entered a short iron condor position on SMH. The position sold for a $1.18 credit, with a July 19 expiration, structured as a short $112 call and short $91 put, with a long $117 call and long $84 put defining the legs. Analysis to follow.

11:05 a.m. New York time

I’ve exited XLB at my bid price. Full results to come.

10:10 a.m. New York time

My short iron condor position on XLB, expiring June 21, became profitable this morning, and I have put in an exit order at $0.37, which is 22.9% of maximum potential profit. My other June holding, AAPL, is unprofitable now, but the price is within the profit zone — between the two breakeven points, meaning it would expire profitably.

By Tim Bovee, Portland, Oregon, June 4, 2019

Disclaimer

Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decisions for his or her own account, and take responsibility for the consequences.

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Based on a work at www.timbovee.com.