Good Return on Risk trade on IYR (Debit spread)

5 мая 2017 г.

With a low Implied volatility rank of 15 in the real estate ETF I decided to make a directional bet with a debit put spread. This is a low probability trade, but will add some negative deltas to my portfolio. It does have a decent R:R of almost 2:1 so at least I will get paid when I am right and my risk is defined.
Bought a Vertical debit put spread on IYR for $1.01 per contract.

I did 5 contracts so the trade would look like this:
(+5) 79 Put
(-5) 76 Put
Max win $995
Max loss -$505
Probability of profit is 45%

16 июн. 2017 г.

Сделка закрыта: достигнута стоп-лосс цена

Took a loss of $505 on this one.