tastytrade highlights how they defended an expensive, wide Iron Condor step-by-step.
Tom put on a wide RUT Iron Condor position in February when VIX was trading at 30s after the market correction. The position was considered relatively safe since the distance between two short strikes were as wide as $200. But it took almost three months to make it positive.
To defend this position, we rolled up the put spread three times, and rolled out the wholeto next cycle three times too. In between, we also scalped by using . As you can see, there were a lot of decisions and adjustments along the way.
Watch this segment of “Anatomy of A Trade” with Pete and Tony to understand how they defend a tough trade for months.