OPENING: XLF June/Sept 24/27/28/31 Double Net Credit Diagonal... for a .58/contract credit.
Basically, this is a calendarized iron condor or iron fly, where you roll just the short strangle/short straddle body of the setup for cost basis reduction, while keeping the long strangle aspect in place for purposes of defining the risk ... . Take profit is somewhat subjective, but I start to look to bail on the trade at >20% of the width of the wings.
With short straddle "bodies," I tend to roll when the short straddle body has reached 25% max; with short strangle bodies, 50%. This is a fairly tight short strangle, so will treat it as a short straddle for purposes of rolling.
