T- Minus 12 Days...

Well Traders, I was in Salt Lake City last week to brush up on my Options skills. I was attending some INVESTools classes that were terrific! They will definitely help my Options plays in the future as I have a much better grasp of Implied Volatility. Many thanks to my classmates and my Instructors, Sam S., Tyler T. and Scott T., you guys were awesome!

The $NDX has been acting perfectly for my February trade, basically waffling along and not doing much of anything, which is EXACTLY what you want when playing an Iron Condor. Here is Friday's chart:You'll notice how little the index moved overall the past week...sweet! At this point, barring some MAJOR news, I can see this expiring for Max Profit on the 16th.

I am tempted to play a March strike closer since the trend is really beginning to flatten out, but I may just stay the course. I may also consider "Legging In" for this next trade. First, since the MACD and STO are signaling Uptrend, I'll let the $NDX rise to a peak, and once the MACD and STO fall, buy my Bear Call, as well as my Bull Put Long position and let it ride down to the bottom, at which point, I'll close the spread by shorting the Bull Put and closing the spread. I may make more money on the Long side heading down since it will be cheaper. I'll have to crunch the numbers to see how it will work.

For now, I am very comfortable in the February trade, so we'll see what the next two weeks holds.

Happy Trading!