Over the last few days, CMG spiked up suddenly. This put its price above the $435 short call strike and put us at a loss in the trade. The risks of a greater loss happening are high and our confidence the CMG was going to drop back into a better price range are low. It made sense to shut the position down.
CMG is holding to a nice sideways channel. Its IV percentile rank is low (8%), but if you look further back into its trading history it has been even lower than it is now. The low IV is a challenge, but overall it is a very good opportunity to place an Iron Condor.
A nice close on CMG!!! We opened up near $434 and then quickly dropped down to $412. The price of CMG has been pretty chaotic, but our exit target got solidly hit and we walked with a profit. Not a bad way to make $1715 overnight.