Live: Thursday, Sept. 12, 2019

7:40 a.m. New York time

I’ve updated the TLT Analysis with results of the trade.

7:30 a.m. New York time

I’ve updated the IWM Analysis with results of the trade.

3:42 p.m. New York time

And that’s a wrap until later in the day.

3:37 p.m. New York time

Exited IWM for a $3.28 debit with shares trading at $157.32.

3:35 p.m. New York time

Exited TLT for a $2.84 debit with shares trading at $138.51.

3:25 p.m. New York time

IWM  and TLT have both moved beyond their profit zones, and I have placed exit orders for a loss in each case. The decision goes like this:

  • Is the share price above the calls break even point or below the puts break even point?
    • Yes
      • Is the distance from the breakeven point divided by the rate of change metric greater than 1, meaning more than a day away from returning to the profit zone?
        • Yes: Exit
        • No: Do nothing
    • No
      • Do nothing.

By that calculation, IWM is 1.54 days above the breakeven point and TLT is 5.59 days below the breakeven point. If I succeed in existing, I shall post here but update the analyses with results after the close.

9:50 a.m. New York time

Speaking of rules, I’ve updated my Trading Rules section, and also the About section. Click on “Trading Rules” and “About” on the menu at the top of Private Trader.

9:45 a.m. New York time

Share prices on two of my short iron condor options positions remain beyond the strike zone — that profitable region between the short call strike and the short put strike. This morning, as at the close, IWM is above the short call strike, and TLT is below the short put strike. With 36 days to go until expiration, my rules require no action.

By Tim Bovee, Portland, Oregon, September 12, 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.