Short Strangle Enabled

Setting key
short_strangle_enabled
Default
OFF

What it does

Enables the short strangle structure (short put + short call, no long wings). A short strangle collects more premium than an iron condor because there is no cost for the long wings, but it has undefined risk on both sides, losses are theoretically unlimited if the underlying makes a large move. ACondor restricts short strangles to margin accounts only and blocks them in IRA and cash accounts regardless of this setting. SPY, QQQ, IWM, and XLF are also blocked from strangles due to large notional exposure.

When to change it

Leave OFF unless you have a margin account, understand undefined-risk, and have explicitly chosen to accept strangle risk. Only appropriate for experienced traders comfortable with naked options.

Safe range

ON or OFF. Default OFF. Never available in IRA or cash accounts.

Example

Margin account, IV Rank 75 on AAPL. With short_strangle_enabled ON, ACondor may enter a 20-delta short put and 20-delta short call with no wings. If AAPL moves 20% in either direction, losses are uncapped.

Financial Information Disclaimer

This site provides general information about ACondor, a software tool for automating options trading strategies. Nothing on this site is investment, tax, or financial advice. Options trading involves substantial risk of loss. Past behavior of any strategy does not guarantee future results. Consult a licensed financial professional before trading options. ACondor may earn a commission from affiliate links at no extra cost to you.