Think I'm in a Mess - Need Help Please!

JSOP said:
Ok so you bought 2 iron condors of put/call combo expecting probably that the price would go up strongly but now are stuck with 2 puts that were and still are ITM right now.........
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I'm guessing he entered the trade 1 month ago when EWZ was about $37.00 - in the middle of all those strikes.
 
OptionsOptionsOptions said:
I'm guessing he entered the trade 1 month ago when EWZ was about $37.00 - in the middle of all those strikes.
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Didn't think that. Good point. Since he didn't post the trade date and only posted the screenshot from August 28, I assumed he opened the iron condor trades on that date when the underlying was already trading at < 33 thinking that's the lowest it would go and would bounce back soon and make his short puts OTM.
 
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JSOP said:
Ok so you bought 2 iron condors of put/call combo expecting probably that the price would go up strongly but now are stuck with 2 puts that were and still are ITM right now. And since these options are American style which means they can be exercised against at any time up to and on the expiration date, I usually suggest to close the ITM options to avoid being assigned. But usually it's the call options that have the highest chance of being exercised especially if they pay dividend and since all of your short calls are OTM right now so you don't have to worry about being exercised against right now.

Right now the biggest problem is really the 2 ITM short puts cuz they are the ones that are bleeding you right now. And you can either roll the 2 short puts (at least the 35 strike one) forward to lower strikes or close them outright depending whether you think the underlying is going to continue its downtrend with the price spiraling down or has a chance of recovering in the future.
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THANK U SIR MUCH APPRECIATED!
 
bepitt said:
Somehow, I have ended up with a wierd trade, trying to learn more about Iron C's. If I post it here, would anyone and everyone please help me to understand what it is or what I did; where it presently stands; and how to/what to adjust to learn as much as I can.
Thanks so very much for your help! (see below)
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Question bepitt: Do you know how to use the Analyze tab in TOS to help with your review of your position?
 
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no, i really don't. at this time, i would love to know how, even after a year with options, and many years of trading many things, i am still drinking out of the firehose of info.

if you could help in any way, many thanks!
 
OptionsOptionsOptions said:
I'm guessing he entered the trade 1 month ago when EWZ was about $37.00 - in the middle of all those strikes.
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Accuracy of this statement notwithstanding, long-delta condors are pretty interesting positions...and an ok way to pick up the "everything is fine" boring moves up. On a similar vein, I use long theta, short delta straddles as a directional hedge sometimes.

Edit: and for the OP, the fact that it wasn't clear you opened this a month ago should probably tell you something about the thread's expectations for your position. ;)
 
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