Welcome to this article on trading options for income or as a business. The purpose of this article is to demonstrate the great risk taken on while trading an Iron Condor just before expiration.

Condors can be very rewarding, but at the same time, they can result in catastrophic losses to a trading account. One of the most dangerous ways to trade them is just before expiration.[youtube:VE4AF6hf9Q8;Be Warned about the [link:Iron Condor];http://www.youtube.com/watch?v=VE4AF6hf9Q8&feature=related]

If you have a few minutes, I would recommend watching the video that we have included with this article. You will see an iron Condor on the spy each demonstrates the type of iron Condor that can wipe out your trading capital. This is the strategy that is taught by 99% of the courses on the Internet. Don’t be misled, and don’t fall into the trap. Take a look at this video and see firsthand the stress and the risk involved with this option strategy.

As this option trade nears expiration it becomes more and more risky. The Delta on the position can change extremely fast because the Gamma is extremely high. This means that the trade is outrageously volatile as it gets closer to expiration, and again, if you are near the short strike just a few days before expiration date, then you will be extremely stressed because you will be in a horrible situation. Please watch the video at the six minute mark to see what I am talking about.

In conclusion I hope you have learned some new things about the iron Condor. I hope you can see that it can make money but it can also be very risky. Trading iron condors into expiration can be very stressful. If you are interested in learning a better way to trade this option spread, then I highly recommend San Jose Options mentoring program. They have developed the best iron Condor that I have ever seen. You won’t regret giving them a visit.

To learn a conservative way to trade options, please visit San Jose Options to get started in the right direction. For free Option Trading Videos click here.