SPX closed yesterday right at a major support line, the 50 day moving average (DMA). Today's market action seems to suggest it has bounced off support and all is well. But it is hard to take any confidence in this volatile market. It seems to just whip back and forth in an effort to frustrate as many traders as possible. SPX tacked on $14 to close at $1555 and RUT joined the party with a close at $913, up $11. VIX pulled back almost three points to 15%. Trading volume was flat on the S&P 500 stocks at 2.8 billion shares, still above the 50 dma. In fact, SPX volume traded above the 50 dma every day this week - unusual.

SPX settled at $1545.35 and RUT settled at $901.94. So the 990/1000 call spreads of my April condor will expire worthless this weekend. I was feeling more conservative and closed the 880/890 put spreads last Friday. They were over two standard deviations OTM, but this market makes me nervous, so I closed them anyway. As it turned out, those spreads would have expired worthless as well, so the Two Sigma Rule worked once again. But playing it safe now and then isn't a bad thing. That brings my April position to a net loss of $400 or -4% for April. That brings my Flying With The Condor™ to a net return of -4% for 2013, as compared to a net gain of 9% on the S&P 500. This is the first time in quite a while that I have fallen behind the S&P 500, but I am regaining the ground and should be back in the black with the May position. I removed the hedge on the May condor today (840/850 and 1010/1020) and it stands at a net P/L of -$100 with position delta = +$61 and position theta = +$44. This trade is positioned well with the call spreads about two standard deviations OTM and the put spreads well over one standard deviation OTM with less than thirty days to go.

Enjoy your weekend. I thought I would start on some of my tasks in the yard this weekend, but it was in the high thirties as I headed to the office this morning - good grief!