Sold my first Iron Condor

Discussion in 'Options' started by Eliot Hosewater, Aug 2, 2006.

  1. The board seems kind of slow, so I thought I'd post this.

    SPY Sep:

    S 123 puts
    B 121 puts
    S 131 calls
    B 133 calls

    for 85 cents.
  2. fh2000


    I need to go review Condor profit range. Is it two places when stock lands in either between 123/121 and 133/131?
  3. No, max profit is between 123 and 131 (i.e. the credit I received from opening the position). Breakeven points are 122.15 and 131.85. Outside that range and it loses money. (Not counting commisions.)

    I'm thinking there might be a pop after FOMC meeting next week and I will buy back the short puts if it gets to .10, then the SPY might fall back to the mid 120s (or maybe lower) before Sep expiration.

    BTW, this is an Iron Condor which is basically a call spread and a put spread. A "simple" Condor is accomplished with all calls or all puts.
  4. Gustaf


    Whats the probaility in percent that you are within the break even limits?

  5. About 60% if I did it right.
  6. Gustaf


    What calculator / scanner are you using?
  7. replicating on my software, it looks like 60% prob of expiring within 122.16 to 131.84 by 9/15. 12.2% chance to expire below 122, and 27.5% chance to expire north of 132.

    If someone can tell me how to post images from the TOS analyze page, I'd be happy to post it.
  8. Gustaf


    CTRL+SHIFT+PRINT Screen to capture the image into the copy buffer, then CTRL+C into paint for example.
  9. TOS analyze screen (looks like volpimp is using the same thing).

    Also I get a 57% probability of touching 131.85, which might mean I can buy back the short put cheap.
  10. nlslax


    Geez... I gotta get out of OX.
    That kind of info isn't available there and it takes me 10 minutes to find an IC I like, even in the SPY's. And then I manually have to input the symbols.

    Lookin forward to seeing that screenshot.
    #10     Aug 2, 2006