Iron Condor Traders Cash in $GOOGL

Subscribers in our Time Bandit Pro option trading service just banked $1.75 per Iron Condor they entered 9 days ago.  When stock was around $1,231.30 on the 1st of August, we analyzed Alphabet for an Iron Condor option spread.  We sold the spread to take in $1.75 per spread.  We choose to sell the 1170-1277.5 Iron Condor expiring August 10th.

This meant that we bought the 1160 put and 1287.5 call and sold the 1170 put and 1277.5 call.  The risk max was $8.25 but the stock needed to move to roughly $71 to the downside or 56 to the upside to realize a max loss.

As you can see from the chart below of $GOOGL that the stock had a good move with the market from our entry price of $1,231.80 to $1,271.96 but never broke our short call strike of 1277.5.  Along the way subscribers were able to take off the put side for less than $0.05.  This reduced overall premium collection, but any time you can reduce risk for a nickel it is worth it.

As the stock fell off on August 10th, subscribers quickly grabbed the short 1277.5 for between $0.05 and 0.10.

This meant that subscribers that were active reduced their profit by about $0.10 to collect $1.65 per Iron Condor.

Some subscribers did nothing and collected the maximum amount.

For each one lot spread they collected $175 or 100% of the premium collected.  The position returned 21% on risk in 9 days.