Iron Condor
Imagine price will drift inside a wide corridor — a range between support and resistance, or between the GEX walls. You outline that corridor and earn while price stays inside it. A wide profit zone, with risk capped in advance.
How the Iron Condor works
While price stays between the short strikes, all options lose value and you keep the credit. The bought wings cap the loss on both sides.
It gains from a flat market and theta decay; its enemy is a sharp directional move.
Placing strikes at GEX levels
Set the short call at the Call Wall and the short put at the Put Wall — the gamma-implied range boundaries. The wings sit beyond them. The ideal regime is positive GEX (low volatility), and high IV pays a bigger credit.
The Call Wall, Put Wall and Gamma Flip are computed live in the GEX Terminal — build the condor in the Position Builder.
When to open, the Greeks and managing the position
Ideal on a calm, ranging market. Traders often enter when IV is high but expected to drop fast — e.g. right after major earnings or an FOMC meeting. Upper breakeven = upper short strike + credit, lower = lower short strike − credit; max loss = (wing width − credit).
Greeks: positive theta and negative vega — time and falling IV work for you. Management: defend the breached side (roll the untested spread closer for extra credit, or close the losing wing early).
FAQ
In a range, expecting price to stay between the Call Wall and Put Wall into expiry.
Capped: the wing width minus the credit received.
Build the Iron Condor on live BTC and ETH quotes in the Position Builder.
Open the Position BuilderRelated strategies
Information is for educational purposes only and does not constitute investment advice. Options trading carries high risk.