Brazil sold off after the election, and the event-driven iron condor got out the same day the bounce came in. The next day was dangerous: it could have gone up further, it could have gone down, it could have turned into consolidation, and most of those scenarios would have been bad for the condor. So this week's free trade is the answer to that question, "why not just stay in the condor": go into another trade for it instead.
The chart looks like a falling knife, and it will not go straight back up. But after an election the dust usually settles, the market consolidates and may slowly turn higher. The iron condor ends Nov 20 and loses a lot if Brazil falls again, so the position is rebuilt as a single long call on EWZ into January, cheap when it was priced. Break-even 35.20, target 37, exit planned for around Dec 6, but nobody has to stick to that date.
Maximum loss is the debit of 2.12, and during the session the call trades at 1.45. That is what a naked call looks like when it goes against you, which is why this is a very small trade, 2 percent of the account or less. There is no stop loss: if Brazil slides back to 31.40 and a few days pass, the call is down 150 of the 212, about 70 percent, and the usual two-thirds mental stop would already have fired. The stop here is the full debit, because a lot of crazy things can happen first, and with time until January a move to 37 still pays without being stopped out.
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Education only. Nothing here is investment advice. Options carry risk, including the loss of the whole stake.