Iron Albatross Spread

Iron Albatross Spread is an advanced yet popular options trading strategy for neutral market conditions. It is a complex trading strategy that is never recommended for beginners where traders make use of four different transactions to create a credit spread. This options trading method is beneficial for traders who can expect no significant upward or downward movement in the price of the underlying asset. The 4 significant legs of the strategy include – purchasing the call options that are far out of the money, writing an out of the money call option, buying largely out of the money put options and selling an out of the money put options.