Notice that VerticalSolutions showed a reversal in probability, but never went to an extreme point. The FinViz chart is a bit more subjective, but you can also see that we're not looking at a "brigt red" picture all over the map, we see some dark spots and even some green.. Once it was all said and done, I was able to adjust the RUT without overpaying for the intra-day volatility.
Now, notice the price action chart, see how RUT is reaching an extreme for the 5-day volatility spike chart, that is very different from the MNX picture.
Position's Details:
10/26 RUT Iron Butterfly
10/26 MNX Iron Butterfly
Price Action & Forecasts:
2 comments:
Nice analysis as usual! On NDX was forced to make a downside adj to flatten the curve. For RUT I'm resisting rolling out the 620 Put Delta Hog ... for now. Waiting to see if we bounce back up.
Thanks! Needless to say, the volatility increase makes this much more uncomfortable than an up-side move..
I'm trying not to fall for over-adjusting this time around, especially when volatility pops like that. Usually it subsides the next few days, I think it will happen once again this time around.
Gustavo
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