Iron Condor

An Iron Condor is an advanced trading strategy that is created by selling a lower strike out-of-the-money put, buying an even lower strike out-of-the-money put, selling a higher strike out-of-the-money call and buying an even higher strike out-of-the-money call.

One way to describe the Iron Condor is a combination of a bull put spread and a bear call spread. Similar to the Iron Butterfly, the Iron Condor is a limited risk strategy that has a high probability of a small profit with an underlying asset with low volatility.