In the Trading the Post strategy we are identifying names that are trading within a range or channel (range-bound stocks). An example would be CRM (Salesforce) since the recent price drop, see chart.
While CRM is not moving and frustrating many traders who might finally give up on the position, we sell premium on both sides by applying an iron condor options strategy. As a demonstration of how you can apply this to make money and grow your account, we are regularly sharing actual results from a small account that Ronchero is managing.
Here’s Ronchero’s update with the screenshot from the account below:
Ok guys here's a snap shot of a small CRM condor from last week. This is up just about 70%. So if you can do this in a small account like this one every week guess what? At the end of a year you gonna have stacked 60K or so. THAT is what gives you the cushion to be able to start to take some bigger shots over time. But if you rush it and dont stack and WAIT for golden spots you will just spin you wheels and not make any progress.
Please note that we are also holding a long position in CRM which we are getting paid for by selling premium and trading directionally within the channel, until CRM breaks out (up or down).
If you’re interested in learning and applying this strategy yourself, we have video classes and handouts on iron condors in the the Trading the Post course. We also share suggestions for which strikes can be selected every week with our members. Find out more.