A Condor is basically an extension of the butterfly strategy. The only difference is that instead of selling 2 ATM options, the strategy sells 1 ITM option and 1 OTM option. Again, there are a total of 8 legs in initiating and closing out this transaction and that needs to be factored into your calculations. The point to note is that you need not fret that markets are directionless. Options provide you the leeway to also play such unique situations in the market.

Dia Deshpandeanswered.A Condor is basically an extension of the butterfly strategy. The only difference is that instead of selling 2 ATM options, the strategy sells 1 ITM option and 1 OTM option. Again, there are a total of 8 legs in initiating and closing out this transaction and that needs to be factored into your calculations. The point to note is that you need not fret that markets are directionless. Options provide you the leeway to also play such unique situations in the market.