OPENING: IWM DEC 9TH 108/111/123.5/126.5 IRON CONDOR

I slapped this one on rather hastily on Friday with the FBI "reopening-Clinton-email-investigation" volatility pop we had on Friday.

Unfortunately, I didn't get what I usually look for in these setups -- a credit of at least 1/3rd the width of the wings (I got it filled for .89 ($89) per contract), but could have done slightly better if I'd not been in such a hurry (looks like you could get .92 ($92) at the mid at the moment) (63% probability of profit; $92/contract max profit; $208/contract max loss/buying power effect; break evens at 110.08/124.42; delta -5.87).

I'll look to manage it at 50% max profit.
Comment: Will look to roll up the short put side tomorrow to the 20 delta strike (or as near as I can get) in the same expiry to delta balance.
Comment: Rolling the Dec 9th 108/111 put spread to the Dec 9th 116.5/119.5 for a .28 ($28)/contract credit.
interesting. check out the last theotrade video on youtube by Don. he makes a case with the big move in vvix options that volatility could explode soon. everyone seems to think or fear a big move down, but...soooo many puts right now
NaughtyPines FractalTrader
As usual, it's a potentially "crowded trade." It's best to go in "small" contract-wise on any pop and keep dry powder aside for more if "this isn't the pop you're looking for."
FractalTrader NaughtyPines
here's another interesting chart, because...IWM has been fun to play lately . down...sideways....down...sideways...down (past big big support). right away one assumes sideways to continue the pattern, but that's usually when you get a nice kick in the....
NaughtyPines FractalTrader
There is a direct correlation between "fun to play" and potential "face ripping." IWM/RUT implied volatility is higher than SPY/SPX here, which is why I'm selling premium in IWM/RUT. That higher implied volatility can also make for a bumpy ride in a nondirectionally biased trade, however, so I guess it might be wise for me to "fasten my seatbelt." The short put side of my setup is at 108 support ... .
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