VNQ has pulled back from its ATH to inside the ATB neutral zone.
It also closed with a candle signaling high probability of sideways to downward trend in next 30-45 days.
Testing a horizontal Iron Condor strategy based on strikes with Highest Open Interest on Monthly Expirations of Dec and Jan 2020.
Option Profit Calculator: http://opcalc.com/1M2%3C/a%3E
buy 20th Dec $86.00 Put $0.43 $-43.00 (99% of Total OI)
sell 20th Dec $90.00 Put $1.53 $153.00 (99% of Total OI)
sell 17th Jan $90.00 Call $2.08 $208.00 (99% of Total OI)
buy 17th Jan $95.00 Call $0.22 $-22.00 (95% of Total OI)
Maximum risk: $204 at a price of $101.67 on 20th Dec 2019
Maximum return: $187 at a price of $90 at expiry
Break-evens at expiry: $92.97, $87.27
VNQ needs to stay inside the red bars for profit.
Green line indicates max profit line on a daily basis until expiration.