11/12 Daily Summary

Today's break was welcome, MNX got a bit better. We are on the 35-day mark, and I entered an Iron Condor strategy that I've decided to use for my portfolio after testing it for the past 3 years. It is a simple and easy to manage trade, so it is added to the system.

I did not enter the MNX Iron Butterfly for DEC contracts. Plan on doing so by the morning, if I can catch good prices, otherwise will do it by Monday.

Position's Summary
11/12 RUT Iron Condor
11/12 MNX Iron Butterfly
11/12 NDX Iron Butterfly

Price Action and Vertical Solution's charts:

11/12 RUT Iron Condor

This is a new trade/investment idea. My plan is to combine my 5-day volatility study with non-directional trades. I've tested this for the past 3 years and created a few filters do adjust allocation size as well as an exit strategy based on the 5-Day volatility profile.

1) Enter half of the position size with 35-Days till expiration
2) Enter 2nd half only if the 5-day volatility profile looks good: No extreme action to one side in the past 10 days.

Extreme action is defined as 2 or more days in a row with over 0.5 standard deviations (on the 5-day volatility chart) This month, I entered both halfs, so it is a full allocation.

11/12 MNX Iron Butterfly

Got a small break as MNX pulled back a bit. Will decide if leave it through Monday or if condorize by end of day Friday. It all depends on how the profile looks by end of day Friday.

11/12 NDX Iron Butterfly

Not much changed, plan to condorize the position by end of day Today.