OPEC Deal Creates A Trading Opportunity

Last week, the group of oil producing nations that makes up the Organization of the Petroleum Exporting Countries (OPEC) cartel agreed to extend production through the end of 2018. The production limits are an effort to increase the price of oil and generate badly needed revenue for the OPEC nations.

In an iron condor, the difference between the prices of the two options will be equal to the difference between the prices of the two put options. The final requirement for this strategy is that all of the options must have the same expiration date.

covered call,