Symbols traded today. 1DTE: SPY, GLD
I entered these trades on a Thursday an hour before the closing bell, and had a difficult time getting the orders filled. The solution, I suspect, will be to place the orders earlier, perhaps two hours or more before the session ends.
Normally with Iron Fly positions the reward is greater than the risk. But not with SPY this a time, a direct result of my lowering my credit ask in order to get a fill.
As it turns out, SPY and its riskier risk/reward ratio produced a small loss. GLD, with a risk/reward ratio more favorable to reward, produced a slightly larger gain. So my take-away, based on one instance, is to never enter a short Iron Fly position skewed toward the risk side of the ratio.
SPY short Iron Fly
| LOT: | 13 | ENTRY DATE: | 11/16/2023 |
| EXIT DATE: | 11/17/2023 | ||
| DAYS HELD: | 1 |
Entry and Exit
| METRIC | CREDIT | DEBIT | CHANGE | CHANGE % | ANNUALIZED CHANGE % |
| Options premium | $ 2.05 | $ 2.12 | $ (0.07) | -3.3% | -1205% |
| METRIC | ENTRY | EXIT | CHANGE | CHANGE % | |
| Stock price | $ 449.10 | $ 450.34 | $ (1.24) | -0.3% | -101% |
| Impllied Volatility Rate | 16.1 | 15.5 | 0.6 | -0.6 | |
| Days to expiration | 1 | 0 |
The structure of the position
| STRUCTURE | STRIKE | ODDS EXPIRE OTM | DELTA |
| Calls | |||
| Long | 452.00 | 89.0% | 10 |
| Break-even | 449.00 | 70.0% | 29.5 |
| Short | 449.00 | 51.0% | 49 |
| Puts | |||
| Short | 449.00 | 49.0% | 50 |
| Break-even | 445.00 | 68.0% | 31.5 |
| Long | 445.00 | 87.0% | 13 |
Risk and Reward
| Per contract: | |
| Reward | 205.00 |
| Risk | 350.00 |
| R/R Ratio (n:1) | 1.7 |
GLD short Iron Fly
| LOT | 1 | ENTRY DATE: | 11/16/2023 |
| EXIT DATE: | 11/17/2023 | ||
| DAYS HELD: | 1 |
Entry and Exit
| METRIC | CREDIT | DEBIT | CHANGE | CHANGE % | ANNUALIZED CHANGE % |
| Options premium | $ 0.82 | $ 0.65 | $ 0.17 | 26.2% | 9546% |
| METRIC | ENTRY | EXIT | CHANGE | CHANGE % | |
| Stock price | $ 183.90 | $ 184.01 | $ (0.11) | -0.1% | -22% |
| Impllied Volatility Rate | 22.4 | 20.9 | $ (0.11) | 0.1 | |
| Days to expiration | 1 | 0 | 1.5 | -1.5 |
The structure of the position
| STRUCTURE | STRIKE | ODDS EXPIRE OTM | DELTA |
| Calls | |||
| Long | 185.50 | 85.0% | 14 |
| Break-even | 184.82 | 68.5% | 31 |
| Short | 184.00 | 52.0% | 48 |
| Puts | |||
| Short | 184.00 | 49.0% | 52 |
| Break-even | 183.32 | 68.0% | 32.5 |
| Long | 182.50 | 87.0% | 13 |
Risk and Reward
| Per contract: | |
| Reward | 82.00 |
| Risk | 68.00 |
| R/R Ratio (n:1) | 0.8 |
By Tim Bovee, Portland, Oregon, November 16, 2023
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.
License
All content on Tim Bovee, Private Trader by Timothy K. Bovee is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Based on a work at www.timbovee.com.
Tim Bovee, Private Trader 
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