Trade Update – IWM 198 Put (Closed at 50% Target)

I recently closed a short put position on IWM for a solid 50% profit in just 7 days.

🧾 Trade Details

• Underlying: IWM (iShares Russell 2000 ETF)

• Strategy: Naked Put Sell

• Strike Price: 198

• Expiration: July 18, 2025

• Contract Size: 1

• Premium Collected (Sell to Open): $2.74 on June 4, 2025

• Premium Paid (Buy to Close): $1.34 on June 11, 2025

💰 Trade Outcome

• Net Profit: $1.40 per share → $140 total (before fees)

• Time in Trade: 7 days

• Profit Target: ✅ 50% reached

📈 Reasoning Behind the Trade

This was a simple premium-selling play based on short-term bullish-to-neutral sentiment on IWM. The 198 strike gave me some cushion, and implied volatility was high enough to make the premium attractive.

The short put strategy worked well in this context:

• Theta was on my side.

• The price held up above my breakeven.

• No major macro events disrupted small-cap sentiment during the week.

🔄 Exit Rationale

As always, I aim to exit at 50% profit whenever possible to reduce risk. I had a GTC buy order at $1.34, and it filled automatically overnight.

📌 Takeaway

Selling puts in high IV environments—on names like IWM—continues to be a reliable strategy when paired with strong discipline and profit targets. Patience + automation = peace of mind.

I'll keep watching IWM for future opportunities. For now, this trade is wrapped up clean.