Iron Condor Strategy 101: Setup, Profit Zones & Risks, Automation + Live Trade Example

Описание: https://optionalpha.com?ytref=56 - This video is a beginner's guide to the iron condor strategy, a personal favorite options strategy I've been running for many years. I'll break down the most important concepts and things you need to know about iron condors, including the setup, profit zones, and risks. I'll also explain how to use automation tools to find and execute both opening/closing trades. Plus, I entered a live trade example this morning.

=== More Resources & Links ===

Start your 30-day FREE TRIAL to Option Alpha by clicking here: https://optionalpha.com/start?ytref=56

Go from beginner to pro with Option Alpha with 17 quick video lessons inside our new "Fast Track" series: https://optionalpha.com/fast-track?yt...

Trading with a smaller account? I created a 55-minute guide on how I would start with a $3,000 portfolio for free here:    • Start Trading Options with $3,000  

Clone my $3k Monthly Iron Condor bot template here: https://app.optionalpha.com/community...

Find iron condor trade ideas here: https://app.optionalpha.com/tradeidea...

The pros and cons of narrow vs. wide wings for iron condors:    • Iron Condors: Wide vs Narrow Wings  

=== Full Video Outline & Timestamps ===

00:24 – What Is an Iron Condor?
Explanation of iron condors as multi-leg neutral strategies made from a bull put spread and bear call spread.

01:55 – Iron Condor Payoff Diagram Explained
Visual breakdown of the classic iron condor risk/reward diagram and how the four legs determine the shape.

03:36 – Iron Condor vs. Short Strangle
Comparing iron condors with strangles and highlighting the benefit of defined risk using protection legs.

05:09 – How Risk and Reward Are Calculated
Example of how to calculate max profit, max loss, and break-evens for a $5-wide iron condor with $2 credit.

06:09 – Visualizing the Iron Condor in Action
A conceptual visual showing how the stock moving in and out of the profit zone affects trade outcomes.

11:23 – Live Iron Condor Build in Option Alpha
Step-by-step demo on building an iron condor manually using Option Alpha’s position builder.

14:47 – Evaluating Trade Metrics
Metrics shown in real-time: net credit, max profit/loss, probability of profit, expected value, and alpha.

16:42 – Adjusting Legs and Exploring Wing Widths
How changing strike widths affects payoff, and when to use balanced vs. unbalanced iron condors.

18:34 – Common Struggles and the Need for Trade Ideas Tool
Challenges of manually finding good setups and introduction to Option Alpha’s Trade Ideas tool.

19:05 – Using Trade Ideas to Surface Opportunities
Explanation of how the Trade Ideas engine scans millions of combinations to surface trades that meet your criteria.

20:36 – Filtering for High-Quality Trades
Setting filters: DTE, POP, expected value, max spread width, and OTM percentage to narrow the best iron condors.

22:07 – Evaluating a Trade Example (TLT)
Reviewing a TLT iron condor trade example with favorable metrics like 63% POP and positive expected value.

24:19 – Finding a Better Trade in GLD
A shorter-dated GLD trade with better numbers: 63% POP, improved alpha, and a higher risk/reward ratio.

25:18 – Live Trade Execution Example
Walks through placing the GLD trade in real time using Option Alpha, with order filled at $43 credit.

26:11 – Automating Exit Options
How to set automated profit targets (e.g., 40%) and time-based exits using the Exit Options engine.

27:08 – Avoiding Pattern Day Trading
Using automation rules to delay exits and avoid PDT violations in small accounts.

27:36 – Full Iron Condor Automation with Bots
Intro to bot-based trading: how bots scan symbols, evaluate trades, and auto-execute based on set logic.

29:04 – Criteria Used in Automation Logic
Alpha, expected value, POP, max loss caps, bid-ask spread limits, and avoiding earnings/ex-dividend dates.

31:08 – Setting Automated Exit Options
Predefining exit logic at 30% profit or one day before expiration for a complete trade lifecycle.

31:36 – Advanced Bot Logic Using Beta Exposure
How beta exposure is used to decide between iron condors, spreads, and butterflies based on portfolio needs.

32:33 – Reviewing Automation Logs and Trade History
Full transparency: view trade entry/exit logs, metrics at execution, and the exact decision path the bot took.

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As always, this is my opinion and thoughts on how you can use iron condors as part of your own trading strategy. If you found this video helpful in any way, please let me know in the comments!

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