Iron Condors Traders Score in $BKNG

Subscribers in the Time Bandit Pro Option Trading Service successfully closed another premium collection Iron Condor in Booking (SBKNG).

This was closed on the August 31st expiration and was entered on August 22nd when the the stock was around $1,916.00.  The Iron Condor that was selected was the 1837.5 -2000 for the Aug 31st expiration.  Subscribers reported getting around $2.00 for this premium collection option strategy.

Option traders bought the 1827.5 puts and 2010 calls as protection against selling the 1837.5 puts and 2000 calls.  This spread had a maximum risk of the difference between the strikes or $10 less the premium taken in of $2.00.  So in total we looked to collect $2.00 while risking $8.00.

We had a decent volatility uptick to allow us to collect slightly higher premiums than normal.

As you can see from the chart below the stock rallied the Friday after entry and didn’t look back.  On August 30th the stock reached a high of $1,957.94 which was still $42 below our short call strike.

Subscribers were able to lock in the full profit of $2.00 or $200 per option spread.

This was a return on risk of  25% in 9 days.