Iron butterfly strategy




Customer reviews
YAN4IK
Listen.
atri
I enjoyed it, but if more money to give dloge or competition conducted, it would be all good.
Scooter
I think this is a brilliant idea
HardSweetTasty
This is very useful
angel-of-heaven
Inability to get or maintain an erection firm enough to have sex… they call it impotence.
BlondeBESTia
The main difference of this impotence treatment is that it really works! See yourself!
ILUZOR
Not really ....

Iron butterfly strategyIron Butterfly Strategy

The Iron Butterfly strategy is an advanced option strategy that combines two vertical spreads (one call spread and one put spread) to create a position that is useful for when you expect low volatility, and for when you expect high volatility but are unsure of the direction. As the name implies, the Iron Butterfly is similar to the Butterfly and Iron Condor strategies. It has the same profit and risk profile as the Butterfly, but uses a similar combination of option spreads as the Iron Condor.

The Long Iron Butterfly is the most commonly used version of the Iron Butterfly, and is suitable for stocks that won't move much ( low volatility ). Like the Butterfly and Iron Condor, this strategy also suffers from the problem of prohibitive costs (depending on your broker commissions). The two option spreads consist of a total of 4 individual options, and the resulting commissions to open and close the position may make this strategy not as profitable as it looks on paper.

The position is created by opening two sets of option spreads. The first spread is a call spread which consists of selling an At-the-Money (ATM) call option and buying an Out-of-the-Money (OTM) call option . The second spread is a put spread which consists of selling an ATM put option and buying an OTM put option .