Trade Update: UNH, USO

Well, it wasn’t the smoothest way to get to profits, but our UNH pre-earnings trade is now profitable, and with a market that is looking for direction, I’d rather take some profits (and risk) off the table. 

Ticker: UNH
Trade Action: Close the entire position for a credit of around 3.71

Potential Profits: I have a debit of 1.50 + 1.80 (3.30) on this position, leaving me with the potential to make $123 on my 3 contracts.  

Note: The bid/ask spread is wide so start higher than the mid-price and work your way down. 

Contracts: 3

STC 6 OCT 502.5 put
STC 6 OCT 480 put

BTC 29 SEP 502.5 put
BTC 29 SEP 480 put

Next up is USO, which gapped up and is currently trading over a 1-ATR move today.  Let’s roll out the iron condor for more time and adjust the strikes we’re using.

Ticker: USO

Trade Action: Roll the position out in time and adjust strikes. See details below.

Trade 1: 

BTC 20 OCT 81 call
STC 20 OCT 85 call
STO 17 NOV 84 call
BTO 17 NOV 89 call
Debit: 0.51
Contracts: 1

Trade 2:
BTC 20 OCT 73 put
STC 20 OCT 69 put
STO 17 NOV 75 put
BTO 17 NOV 71 put
Credit: 0.59
Contracts: 1