A brief condor

I don’t think much is going to happen with the market this week.  Trading on that hunch I put a condor position in place Monday with SPY weekly options expiring this Thursday, the 23rd.  The position is composed of short calls (S126 at .11) and short puts (S124 at .38) to create the upside of the position, with long calls (S127 at .04) and long puts(S123 at .18) to limit the risk.   SPY was at around $124.6 when I created the position.

I used Fidelity’s Active Trader Pro software to create the position, it allows the condor to be created with a single trade.  The net credit I received was  $0.27, the worst case loss of $0.73 would be if SPY moves above $127 or below $123.   The bid/ask spread was around $.04.  I  tried to get a fill between the two prices, but without success, so I gave in and offered the asked price.


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