Iron Condor - Is this the best?

justrading said:
It's called picking pennies in front of bulldozers. Read about Victor Niederhoffer's two blow outs. This is a well connected pro, not some amateur.

Edit: I'm not saying he did condors, I'm saying he took the same crappy R:R.
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whats R:R
 
justrading said:
Risk:Return.

Jeez man, why are you trading?
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you cant assume id know what r and r meant. i use r r for rest and relaxation.

but iron condors or credit spreads dont carry the same risks that neiderhoff took. they have set losses. as long as your spreads are tight, you should he relatively safe.

just curious, have you tried managing an IC by just rolling losing legs or converting them into something else? even if it means you end up with a scratched side.
 
just curious, have you tried managing an IC by just rolling losing legs or converting them into something else? even if it means you end up with a scratched side.
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This is the type of thing the guys selling Iron Condor strategies teach. Did you ever stop to think why they are teaching it instead of just trading it? It's because it doesn't work my friend. They'd rather take the coaching fee and have you bleed down your own trading account rather then them do it.

No, closing out the winning side and rolling the losing side is not a strategy that works in the long run. Sometimes you get away with it, and other times it costs you way more than you planned. In the long run, it's a dud strategy.



Here is the bottom line, just spelled out for you clearly. Iron Condors are a good trade strategy to have in your tool box of potential trades, but there is NO strategy that works consistently in all market conditions.

It seems to me you're trying to find a simple strategy you can just put on every month and collect your easy premiums. Well, it doesn't work that way. Sometimes Iron Condors are the best trade to put on, and sometimes they can be one of the worst. If you want to profit in all market conditions, you have to apply the right tool for the job.

As they say, if you walk around all day with a hammer, everything starts to look like a nail.

You'll need to have a good understanding of many different option strategies and develop a system of signals for when to apply each strategy. Good option traders understand that we aren't looking for home runs. We're just trying to find efficient ways to get a few extra pennies out of each trade. Added up in the long run, consistently over the years, that's profit year in and year out.

If you ever hear someone say, here's a simple strategy that can make X% per month, IGNORE THEM !
 
VIXTrader said:
This is the type of thing the guys selling Iron Condor strategies teach. Did you ever stop to think why they are teaching it instead of just trading it? It's because it doesn't work my friend. They'd rather take the coaching fee and have you bleed down your own trading account rather then them do it.

No, closing out the winning side and rolling the losing side is not a strategy that works in the long run. Sometimes you get away with it, and other times it costs you way more than you planned. In the long run, it's a dud strategy.



Here is the bottom line, just spelled out for you clearly. Iron Condors are a good trade strategy to have in your tool box of potential trades, but there is NO strategy that works consistently in all market conditions.

It seems to me you're trying to find a simple strategy you can just put on every month and collect your easy premiums. Well, it doesn't work that way. Sometimes Iron Condors are the best trade to put on, and sometimes they can be one of the worst. If you want to profit in all market conditions, you have to apply the right tool for the job.

As they say, if you walk around all day with a hammer, everything starts to look like a nail.

You'll need to have a good understanding of many different option strategies and develop a system of signals for when to apply each strategy. Good option traders understand that we aren't looking for home runs. We're just trying to find efficient ways to get a few extra pennies out of each trade. Added up in the long run, consistently over the years, that's profit year in and year out.

If you ever hear someone say, here's a simple strategy that can make X% per month, IGNORE THEM !
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so if i make this work, will you give me your money?
 
VIXTrader said:
This is the type of thing the guys selling Iron Condor strategies teach. Did you ever stop to think why they are teaching it instead of just trading it? It's because it doesn't work my friend. They'd rather take the coaching fee and have you bleed down your own trading account rather then them do it.

No, closing out the winning side and rolling the losing side is not a strategy that works in the long run. Sometimes you get away with it, and other times it costs you way more than you planned. In the long run, it's a dud strategy.



Here is the bottom line, just spelled out for you clearly. Iron Condors are a good trade strategy to have in your tool box of potential trades, but there is NO strategy that works consistently in all market conditions.

It seems to me you're trying to find a simple strategy you can just put on every month and collect your easy premiums. Well, it doesn't work that way. Sometimes Iron Condors are the best trade to put on, and sometimes they can be one of the worst. If you want to profit in all market conditions, you have to apply the right tool for the job.

As they say, if you walk around all day with a hammer, everything starts to look like a nail.

You'll need to have a good understanding of many different option strategies and develop a system of signals for when to apply each strategy. Good option traders understand that we aren't looking for home runs. We're just trying to find efficient ways to get a few extra pennies out of each trade. Added up in the long run, consistently over the years, that's profit year in and year out.

If you ever hear someone say, here's a simple strategy that can make X% per month, IGNORE THEM !
More...

Good post.
The problem for novice is that they though they can profit month by month by some BS strategies like IC, butterflies, cresit/debit spread. THIS IS SAME AS THOSE "TA NOVICE" THAT THOUGH THEY CAN PROFIT MONTH BY MONTH BY SOME BS PATTERN SUCH HEAD AND SHOULDER, 50MA CROSS 20MA, CAN INDICATORS AND ETC.
 
ill make it work. not a novice in trading stock, but a noob in options. im adamant about making it work. maybe not mtm, but over the course of a year.
 
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