new march rut position

Well, its back to the races! Expiration Friday is behind us and last month was a good one. I only had one trade on, but it was a very successful one I’m out looking for new candidates for the march cycle and think I ~~might~~ have found a good one. ~~I’m looking at a position like this~~ Here are the details:

Mar 2006 RUT 660/670 Bull Put Spread
Bought 660 Put & Sold 670 Put
Opened: Sold on 2/21/2006 for $0.40 Credit

I will leg into a full Iron Condor later this week if the markets permit

~~Mar 2006 RUT 660/670 780/790 Iron Condor~~
~~I’m trying to get about $0.55 for the Condor. The ROI will only be 5.5%; but then again my money will only be on the table for 23 days~~

~~The order for the put spread is out for a $0.40 credit. We’ll see~~

Original Notes

I’m going to try and leg into this by selling the 660/670 Put Spread first. If this gets filled, then I will put in the sell order for the 780/790 Call Spread. My thoughts here are as follows:

1. The bulk of the profits for this trade will come from the 660/670 Spread.
2. Using thinkorswim’s awesome trade analysis software, I was able to calculate an approximate risk of about 3.68% on the Put Spread. The Call Spread is a bit higher at about 5.63% but that’s still pretty good!
3. If I don’t get a fill on the Put side of this, then I’ll start looking for an April position that has a higher ROI. Typically I am looking for something in the 8-9% range or higher!!.

I’ll post updates as the trade progresses

Update
I got the fill for the 660/670 Put Spread. I’ve placed an order for the Call Spread and am waiting for a fill.

Update
Well, the market closed and I still didn’t get a fill for the RUT Condor. I’m going to modify my order to be GTC for a few days and see if I can catch a fill on a market swing. I’ll have to keep an eye out to make sure that I don’t loose potential premium if the market moves up quickly.

I’m also updating the initial trade information to reflect what happened.