An iron condor is what Greenlight suggests when your view is neutral: you think the stock will stay inside a range for the next few weeks. It is two credit spreads at once, one below the price and one above.
Below the price you sell a put and buy a lower put (a put credit spread). Above the price you sell a call and buy a higher call (a call credit spread). You collect a credit from both sides. The stock can only end up on one side, so only one side can ever lose.
XYZ trades at $100. You sell the $92 put and buy the $87 put, and you sell the $108 call and buy the $113 call. Both spreads are $5 wide. Together they bring in $1.60, or $160.
Condors pay when a stock drifts, chops or simply does less than the options market feared. Greenlight prefers them when implied volatility is high for that stock (options are pricey, so the credit is fat) and there is no earnings date before expiry. A quiet, liquid name after a big move is a classic setup.
A sharp move in either direction. Because the short strikes sit closer to the price than in a single spread, a condor gets tested more often than it looks. That is why Greenlight writes a stop into the plan (usually close when the loss reaches twice the credit) and never holds a condor into expiration day.
An iron butterfly is a condor with both short strikes at the same price, right at the money. It collects a much bigger credit and has a much narrower sweet spot. Greenlight shows butterflies only when you lower the minimum chance of profit in Settings, because they rarely clear 65%.
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For information and education only. Not financial advice. Greenlight never places trades. Examples use round sample numbers, not live prices. Options involve risk and are not suitable for everyone; read the options disclosure document.