Curious to hear how others trade iron condors. I sell short dated (7DTE) on SPX usually around 15delta and 25pts wide. I’ve got certain criteria as to when to sell or sit out, have a stop loss and then backtests have shown holding to exp produces best results over long term rather than closing 1DTE or something if SL not hit.
I’ve been toying around with the idea of being more active with these and closing a leg down if I get a move in the other direction especially in the market we’re currently in. Obviously, this can work if we then later move back up and closed the call side for 75% or so of the max profit but then hurts me in losing cases where I don’t get the full premium on the other side.
I need to see if I can simulate this in my back tester and should also probably paper trade it or mess around with XSP with more active legging in and legging out rather than the current mostly passive strategy. Interested to hear what others are doing on SPX or other tickers