What Is Iron Condor Strategy In Stock Market

Everyone want to earn from stock market but only few people are able to do it.  People are not earning from market not because of sufficient capital but it is consistency required to earn. We can not predict market 100 %, Never it is impossible to predict.

Weather a person trading he will earn or not  from stock, it is depend how much he is earning when he is right and what he is losing when wrong.

ISFM – Best Stock Market training institute in Gurgaon continuously working to prepare new tool to earn profit irrespective of market conditions. Today we are going to discuss “IRON CONDOR” strategy to earn on daily basis from trading.

Market Outlook : Moderate Bullish

Volatility : Medium

Formation : – Sell ATM Call + Buy OTM Call + Sell ATM Put + Buy OTM Put

Risk : Limited

Reward :  Limited

Underlying Assets :  Nifty 30th Jan 2020 Future

Explain with Real Example : –

Current Nifty price is 12377 as on Friday closing. We are moderate bullish on Nifty but bearish on Volatility. We think market will go upside up to 12450 level only, so we will sell 12350 call option at 109 rupees and buy 12450 call at 59 Rs. However we save 50 Rs in this spread by doing 2 transactions.

Another side we will sell ATM Put option of 12350 @ 83 Rs and We will buy 12250 Put at 49 Rs. to hedge our risk to safeguard from unlimited loss. And in second transaction we are saving 34 Rs.

Overall, We are saving 84 Rs. By applying all transactions, that called IRON Condor.

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Picture of Mr. Sushil Alewa

Mr. Sushil Alewa

Sushil Alewa is the Founder and Director of ISFM – International School of Financial Market, one of Gurugram's established stock market training institutes. Over the past decade, he has built ISFM into a platform offering structured certification programs in technical analysis, derivatives, research and wealth management, supported by placement assistance.
He holds an MBA, is a Certified Financial Planner (CFP) and a SEBI Registered Research Analyst (Registration No. INH100009433). His 16+ years in the financial markets span live trading, equity advisory, portfolio management and market research, including HNI advisory roles at Sharekhan, India Infoline, India Bulls, Religare and Anand Rathi Wealth Management before he moved into full-time education.
Alongside ISFM, he serves as a Visiting Professor at Gurugram University and is currently pursuing a PhD in financial markets, with research interests in options strategies and data-driven trading frameworks.
He writes on equity markets, derivatives, technical analysis and personal financial planning, with a focus on making market concepts practical for retail participants.

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