print Condor Spread Printable Version

Condor Spread Risk Graph

Condor Spread - Components

 Buy to open 1 In The Money (ITM) option, sell to open 1 At The Money (ATM) option, sell to open 1 Out of The Money (OTM) option and buy to open 1 further Out of The Money (OTM) option. (either call options or put options can be used.)

Buy ITM + Sell ATM + Sell OTM + Buy OTM



Condor Spread - Expectation

Stagnant, Trading within A Tight Range



Condor Spread - Risk / Reward

Maximum Profit: Limited

Maximum Loss: Limited



Condor Spread - Breakeven Point



1. Lower Breakeven Point : Net Debit + Lower Strike Price

And

2. Upper Breakeven Point : Higher Strike Price - Net Debit







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