Live Iron Condor in BABA
Currently trading at $187, the stock has been in a range between roughly 170 and 200 since Mid August, about 6 months. I put on an Iron Condor today. Sell 1 Apr 6 207.5 Call, Buy 1 Apr 6 212.5 Call, Sell 1 Apr 6 167.5 Put, Buy 1 Apr 6 162.5 Put, Total Credit $85. Margin or risk for 1 contract is $415. The expiration of April 6 is 31 days from today. Looking to buy in the spread around .30 Debit. The profit target would be $55 on capital of $415 for 1 contract, or a yield of 13%. If Baba goes against me price wise, I will close out the Iron Condor if the spread price that I sold for .85 credit, trades over $2.
Dan Sheridan
dan@sheridanmentoring.com
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