My blog gained the notice of owner and founder of Insanemoney Mojo, my postings here have been sparse lately because I was asked to help him create a community for other options traders to exchange ideas. Over the last several months I've installed an excellent software of forums and help get the community off the ground. Please head over to Insanemoney.com/forums to visit with me and view my progression of posts, education, success and failures.

All my best,
MdrNate

My first Iron Condor worked out pretty well. I sized small and took my close this morning.

Opening credit:6.29 Closing debit: -5.93 Profit: 0.36 Percent: 9.70%
Since the spread between my strikes was 10, take that minus the opening credit is my margin at risk. .36 on 3.71 is almost 10%.

MdrNate

Another excellent pick by Insanemoney!

Final results:

Opened for: -1.85 Closed for:2.27 Profit: 0.42 Percent returned: 22.70%

All of this in only 4 days!

MdrNate

Major gap down on GE's earnings the other day. On the 11th I entered this bull put spread following the Insanemoney.com trade.

4/11/2008 BLPS Apr 32/30 +.30

MdrNate

On Apr 10th I followed the Insanemoney.com trade for this Iron Butterfly. This is a negative vega trade. Meaning that we want the volatility to drop and let the fear in the market increase the premiums of our options to make money. The risk graph shows a similar profit chart and breakevens as a straddle will, without as much margin in use and without unlimited risk.

I'm seeing this as a possible replacement trade for our earnings straddles in the coming future.

This is basically an Iron Condor (two vertical spreads, a bull put spread and bear call spread) with the short call and put being at the money and the longs a little further out. The longs are our insurance in case the stock moves so violently that we get kicked in the shin.

4/10/08 May Iron Butterfly BLPS 350/280 & BRCS 350/420 +45.65

MdrNate