Some Additional Rules for the Bearish Butterfly Trade

In addition to the previous stated rules for my trade on1/20/12 I will adjust the trade if it exceeds a Delta of 100 or a Delta/Theta ratio of 1.5 in absolute terms. As of now everything is going as planned

Trade entry

1/20/12

March IWM bearish butterfly trade
Profit target: $600.
Reduced profit target if the trade gets closer than 21 days till expiration:$200.
I will exit the trade on the Friday before expiration if the targets are not hit.
My maximum loss will be $600.
I will add 4 butterfly when IWM gets to 80 and  82
After that I will roll the lowest butterfly up 6 points at  83, 84, 85, 86, 88, 90.