Pay Day!

Ka Ching! Ring the register folks, I have been welcomed by a visit from my best Iron Condor friend, Mr. Max Profit!

Honestly, the $NDX has performed beautifully for Iron Condors the last 3-4 months, trending flatly. It is here where I become cautious because with May coming soon, it seems people start to bail from their positions in April. You don't want to be in an Iron Condor during a strong trend, like July - November last year. Better to play either a one-sided credit spread, or maybe a directional Option, rolled into a credit spread if things reverse quickly one you.

At this point I would probably wait for this run-up to peak, then buy some OTM Puts for the way down. Hopefully the $VIX will have subsided making the options inexpensive. We'll have to wait and see.

In the meantime, I am going to look for less-risky Iron Condors to trade.

Have a great weekend!

Happy Trading!