IWM Broken-Wing Bull Put — 2026-08-21

IWM (iShares Russell 2000 Index Fund): $2263K of buyer-initiated unusual call flow (100% call-dominant), IV rank 19 (low). Our gamma model reads IWM in a NEGATIVE-gamma regime (net GEX -369.3M, flip —) — dealers are short gamma and amplify moves, so this is defined-risk only and leans with the flow. Structured as a Broken-Wing Bull Put (sell $290P / buy $288P) expiring 2026-08-21 (18 DTE) — negative-gamma (trend/gap risk) → defined-risk broken-wing leaning with flow. Net credit $44, max loss $157 (defined risk). Breakevens $289.57.

Underlying: IWM @ ~$291.20 | 2026-08-21 (18 DTE) | Net credit (entry): ~$44 per spread. Use limit orders at the mid or slightly better.

ENTRY: Put on the broken-wing put spread: sell the $290 put, buy the further-OTM $288 put with a WIDER gap on the far wing, expiring 2026-08-21 (18 DTE), as one order at a LIMIT of the mid or better — target net credit $44. IV rank 19 is low — premium is thin, so keep size small and lean on a defined-risk structure. The skew removes upside risk while collecting a credit; the downside gap is the residual max loss ($157). | TAKE PROFIT: Buy it back to LOCK IN gains at ~50% of the $44 credit. Also close on TIME: exit around 21 DTE regardless of P&L to sidestep the late-cycle gamma/pin risk near IWM's short strike(s) — currently 18 DTE, so plan the exit 0 day(s) out. Above $290 the whole credit is yours — take profits, don't carry the tail into expiration. Breakeven $289.57. | IF TESTED: The risk is a hard drop into the wide wing. When IWM tests the $290 short put (delta ~0.30) or loss ≈$88, roll the structure DOWN and OUT ~7–14 days for a credit, or buy an extra long put to square the wing back into a symmetric (fully defined) spread. Treat a close below the $290 put wall as the hard trigger to act (the pin support has failed). dealer gamma is NEGATIVE (vol-amplifying) — moves accelerate here, so defend one trigger EARLIER than usual and don't wait for the strike to go in-the-money; put wall (support) at $290; call wall (resistance) at $295. If price reaches the $288 wing, you're at max loss ($157) — take it. | MAXIMIZE: Holding above $290? Let theta collect the full credit. Once most is banked, roll up toward the money next cycle for a richer credit, or convert into an iron condor by adding a call spread if the flow turns two-sided.