Should I adjust position size before RBA Meeting Minutes?
VixShield Answer
Yes adjust your position size down before RBA Meeting Minutes. SPX iron condors carry elevated gamma risk around central bank events even when VIX is only moderately elevated.
Under the ALVH methodology you reduce size when implied volatility is expected to spike or when scheduled macro events can trigger outsized spot moves. RBA minutes frequently move AUD/USD and risk assets in a correlated manner with SPX. This increases the probability of your short strikes being tested inside the first 30-60 minutes after release.
Practical rule: cut position size to 50-60% of normal 45 DTE iron condor allocation the day before the minutes. Keep the same 12-15 point wing width you normally trade on SPX because narrower wings become too expensive to defend when VIX jumps from 13 to 18 in one print. Once the initial volatility crush passes and the market digests the statement you can scale back to full size the following session if VIX settles below 15 and the delta of your position remains under 0.12.
This keeps your defined risk intact and prevents one event from dominating monthly P&L.
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