Consolidation Spread Idea

I’m seeing (imagining) consolidation and some interesting ranges appear on the charts. The chart below is the $QQQ. I’m looking at a couple of short strangles or iron condors for August expiration. The volatility is high and there’s a lot of traders who probably disagree with this range bound idea. At the same time the bears would say we’ll retest the lows (which keeps me in my range).

Will we do it by the end of next week? I think it’s worth putting on a short strangle here maybe with some protection on the outside.

Strong names like $AAPL could easily break out to the upside. Normally I like to trade $AAPL in a range, but I’m staying away from it, in this case. Apple fanatics have tasted 400 so there’s a tight spring loaded here…

Selling $QQQ 50 puts and 55 calls.