Not too long ago, I closed my 2017 Jan SPX Put butterfly with a profit of $720. Several days after my previous position, I initiated 2017 Feb SPX Put butterfly. As I said in my 2016 reflection, put butterfly is my bread-and-butter option trading strategy, which usually brings me consistent income every month.
Iron condor is one of my favorite bread-and-butter trade every month. This strategy falls into my categorization of conservative speculation.
Traditionally, iron condor consists of two credit spread: one put credit spread, and one call credit spread. Iron condor has a limited risk, and has a limited profit. If you do not know what iron condor is, check out the following video by Sky View Trading.
Index butterfly is my butter-and-bread trading every month. I think 2017 off to a good start with my closing position in 2017 Jan SPX Put Butterfly.
As you see, I closed this position with $720! Think about it if you have a larger account and can trade 10X of my position.