This trade rides monster moves for a win in episode 29 of The Winning Trade series! The M3.4u options trading strategy is one of the many broken wing butterfly style options trading strategies we trade regularly on the Russell 2000 index (RUT). Click here or in the video below to watch this trade’s ride from March 20th to May 8th where it earned 8.8%* on planned capital.
Returns of this trade: This trade earned about 8.8% of planned capital in 49 days.*
Description of this trade: This is a fairly simple income strategy that is easy to manage with as little as $2,500 per trade
Minimum Capital Required: $2,500 per trade
Example size: $5,000 planned capital
Profit Target: None. In general, I’d expect a good month to return well over 10% of planned capital
Exit Loss Trigger: 10% of planned capital or $500 for this example
Entered Trade: 56 days to expiration
Trade Duration: Up to 56 days
Trade Adjustments: Yes
Overlapping Trades: Yes
Why do we love this trading strategy? M3.4u is a very simple, dynamic strategy that performs well over a large variety of market conditions.
This rule-based strategy has a minimum capital requirement is $2,500 and takes less than 15 minutes a day to manage. Click here to learn more!
Learn to trade
Follow the M3.4u trade as it rides monster moves for more wins along with eleven other different options trading strategies each week by reviewing the movements of the trades in rotation through current market conditions during the Options Trading for Income by the Guidelines webinar. Consider joining us each week!
Returns of this trade: This trade earned about $381 profit or about 8% of planned capital.*
Returns of this trade: This trade earned about $1,397 profit or about a 5.5% of planned capital.*
*The result shown is from real-time, hypothetical trades such as those shown in the Options Trading for Income weekly webinar. Simulated trades are believed to be represented as accurately as possible, however, live results may have been different. The result is shared as an example for educational purposes ONLY.