EPISODE 10; X4V17 Trading Strategy
Returns of this trade: This trade earned about $3,500 profit with a maximum capital in it of about $22,000 or about 15% of actual capital in 60-days.*
Using the planned capital in this trade of $35,000 that results in about a 10% profit in 60-days.*
Description of this trade: It is a somewhat bullish bias, market neutral 60/40 broken wing butterfly strategy designed to be traded on the Standard and Poor 500 (SPX) index. To clarify, it is a 60 point wing bullish vertical spread on the backside and we have a 40 point wing bearish vertical spread on the upside.
Minimum Capital Required: $3,500 per trade
Example size: This is a 10 lot which means there are 10 butterflies and the planned capital or the maximum amount we would like to put in the trade is about $35,000.
Profit Target: None. In general, we expect about 10% return on planned capital
Exit Loss Trigger: 7.1% or $2,500 in this example
Entered Trade: 77 days to expiration
Trade Duration: 60 days
Trade Adjustments: Upside and a downside adjustment strategy
Overlapping Trades: Yes
Why do we love this trading strategy? Because it is simple to manage and it does very well in V reversals. A V reversal is when the market comes down a lot and then reverses in the other direction.
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LEARN THIS TRADING STRATEGY!
The X4V17 trading strategy is one of three trading strategies that are taught in the very comprehensive X4 training system which is designed to be traded on the Standard and Poor 500 index. It is the most bullish structure that we have and is designed to maximize results in neutral to bullish market conditions.
This rule-based strategy has a minimum capital requirement is $3,500 and takes about 15 minutes a day to manage. Click here to learn more!
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Become a GO or a PRO member to follow this trading strategy on the Options Trading for Income by the Guidelines weekly webinars. This trading strategy is for Trading Success Blueprint traders in Stage 3 and above to focus on.
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Returns of this trade: This trade earned a profit of $2,586 on $35,000 planned capital for a return of approximately 7.4% in 60-days*
Returns of this trade: This trade earned $3,855 on $35,000 planned capital for an 11% profit in 60-days*