I'll use this currently open trade to put real numbers around it.
9/23 sold 12 Delta (at that time) Iron condor. 15NOV19. Entered a few days later than desired (extenuating circumstances), looking to enter 57-66 DTE.
-2735P +2710P
-3140C +3165C
So wings are 25 points wide.
I collected $4.60.
Margin $2,500
Commission $6.00 to enter, will cost another $6.00 to exit.
Per 1 lot
Exits= Minus 9.20 (200% of credit received) OR plus $2.30 (50% of credit received) OR 33 days to expiration arrive (profit/loss unknown until then)
Backtested (not by me) returns 2007-2018, non compounded is 44% annually.
Compounded would be crazy numbers and insufficient volume to execute, also there are some stiff drawdowns, but only 2 negative years. 2007 (8%) and 2018 (42%)
9/23 sold 12 Delta (at that time) Iron condor. 15NOV19. Entered a few days later than desired (extenuating circumstances), looking to enter 57-66 DTE.
-2735P +2710P
-3140C +3165C
So wings are 25 points wide.
I collected $4.60.
Margin $2,500
Commission $6.00 to enter, will cost another $6.00 to exit.
Per 1 lot
Exits= Minus 9.20 (200% of credit received) OR plus $2.30 (50% of credit received) OR 33 days to expiration arrive (profit/loss unknown until then)
Backtested (not by me) returns 2007-2018, non compounded is 44% annually.
Compounded would be crazy numbers and insufficient volume to execute, also there are some stiff drawdowns, but only 2 negative years. 2007 (8%) and 2018 (42%)