OptionsLinebacker Iron Condor System

To make our monthly income, the OptionsLinebacker High Probability Iron Condor system uses credit spreads on options of major US Index ETFs, such as the SPY and IWM. When a bullish credit spread (Bull Put Spread) is used in conjunction with a bearish credit spread (Bear Call Spread), the combination is known as an "Iron Condor".

One of the huge benefits of this type of trade is that if you have the right broker, you only need enough maintenance $ for one side, effectively doubling your rate of return on risk!

A lot of advisory services will show you how to get into trades. The OptionsLinebacker Iron Condor system will show you not only how to get into a trade, but also how to "defend" the trade and most importantly how to exit the trade!

OK, What's the Football Connection?

When you place a trade, you're on offense. You have the ball, and EVERYTHING is in your control.

Just like a place kicker, everyone's just waiting for you to kick off to the other team. Guess who's on the other team?

Every other trader in the Market!

As you submit your trade and kick off the ball, you see it arc upwards, finally settling into the arms of the kick returner - the Market has the ball.

Now you're on DEFENSE!

If you're going to play defense, and it's your money, you need to play your trade like a smart, fast Linebacker. An OptionsLinebacker! Defense wins championships in football, and defense wins trades in the Market. If you know anything at all about Football, then our system and our analogies will make a lot of sense to you, it'll become very intuitive in a short time. Even if you don't know football, we'll show you how to make trading simple, fun, and profitable!

Why Iron Condors?

If you've spent any time in the Market trading your account, you've heard the expression "The Trend is Your Friend".

What if there is NO TREND?

Trying to trade a long position with the trend can be incredibly frustrating if the Market is choppy. You may get your position to go in your favor for a day or two, but it might quickly reverse and stop you out for a loss. You need a way to make money when the market is range-bound, which is 80% of the time!

Options Credit Spreads are great for their ability to provide the trader a profit if the Market goes in their direction, sideways, and even against their direction.

Let's see how this would apply to the S&P500:

A Nine-month Chart of the S&P500

Note how this index obediently stays within a price channel most of the time. This channeling behavior can be a challenge to trade this chart, or any stock directionally. Yet it makes it a perfect trading vehicle for the Iron Condor Options Trading Strategy by OptionsLinebacker!

Now let's see how we would place the positions:

Notice how there was a strong channel in place that allowed us to place distant Bear Call Spread positions above the channel resistance for February (green lines) , as well as a strong support from the channel that allowed us to place corresponding Bull Put positions (pink lines) on the bottom side.

We're not trying to determine exactly what direction the SPX is going in; we're just determining the likely range that the S&P 500 will trade in over the next expiration month, and placing our trades well beyond that range!

OptionsLinebacker's Daily Newsletter will show you how to enter these trades, how to maintain them, and how and when to exit the trades!