Long Put Condor
The all-puts version of the Iron Condor: 4 puts at 4 different strikes. Functionally equivalent to the Long Call Condor but built with puts.
Profit / Loss Diagram
Long Put Condor at expiration
What is this strategy?
The Long Put Condor is functionally equivalent to the Long Call Condor but built with 4 puts instead of 4 calls. Construction: buy 1 lower OTM put, sell 1 lower-middle OTM put, sell 1 upper-middle OTM put, buy 1 higher OTM put. Exactly the same P/L profile.
The choice between a put condor and a call condor is purely operational: it depends on which side has better liquidity on the specific underlying. On indices such as SPX, puts typically show better liquidity than calls because of permanent institutional hedging.
Same use as the Long Call Condor: a neutral strategy with defined risk, a small debit, and a flat gain between the inner strikes. Useful for markets you expect to stay in a narrow range.
Construction
| Action | Instrument | Strike | Expiration | Example |
|---|---|---|---|---|
| BUY | 1 Put | Lower OTM (A) | 30-45 DTE | +1 SPY 440 Put |
| SELL | 1 Put | Lower-middle OTM (B) | Same expiry | -1 SPY 445 Put |
| SELL | 1 Put | Upper-middle OTM (C) | Same expiry | -1 SPY 455 Put |
| BUY | 1 Put | Higher OTM (D) | Same expiry | +1 SPY 460 Put |
Example
SPY at $450. You build a long put condor 440/445/455/460 at 30 DTE.
- Net Debit $170
- Maximum Gain $330 if SPY finishes between $445 and $455
- Maximum Loss $170 (the debit) if SPY < $440 or > $460
The Greeks
Same profile as the Long Call Condor: neutral at the centre, directional near the breakevens.
Same as the Long Call Condor.
Same as the Long Call Condor.
Same as the Long Call Condor.
Position Management
- 01 Same as the Long Call Condor Close at 50% of maximum profit, adjust if it turns directional, and use the 30–45 DTE sweet spot.