has anyone tried this kind of butterfly?

Discussion in 'Options' started by cdcaveman, Jul 16, 2012.

  1. this is just spreading the fly out a little... i was thinking about putting a trade on this this to exploit a lack of vol over a weekend on the weeklys or after weds near expiration..


    Sell 1 contract of AAPL 2012 JUL 605.00 CALL @ $7.15 ($715.00)
    Sell 1 contract of AAPL 2012 JUL 610.00 CALL @ $4.65 ($465.00)
    Buy 1 contract of AAPL 2012 JUL 590.00 CALL @ $18.30 $1,830.00
    Buy 1 contract of AAPL 2012 JUL 625.00 CALL @ $0.88 $88.00

    Current Stock Price : $606.91
    Break Even #1 : $597.38
    Break Even #2 : $617.62

    Total Cost: $738.00
    Max Risk: $738.00
    Max Profit: $762.00
     
  2. this is the profit graph
     
  3. 2rosy

    2rosy

    condor
     
  4. right with all calls.... condors i typically think of as a bull put credit and a bear call credit.. but i wasn't really trying to get techincal about the "name" of it but more or less what people thought about being involved in this trade near expiration.. being as it near that money options have so much gamma at this stage.. its alot less risk per potential return.. and if your putting the spread on inbetween the strikes with the most interest?
     
  5. stoic

    stoic

    Long Call Condor
     
  6. what are the delta's of these calls ?
     
  7. stoic

    stoic

     
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  8. are you talking cumulative delta per spread?