Kim 7,943 Report post Posted June 14, 2013 A credit spread is an options strategy in which the premiums received from the short leg(s) of the spread is greater than the premiums paid for the long leg(s), resulting in funds being credited into the option trader's account when the position is entered. When used correctly, credit spreads can be a very profitable strategy resulting healthy monthly returns. When you combine a bull credit spread with a bear credit spread, the resulting position is called an Iron Condor. A lot of option trading websites promise you to make 10% per month with Iron Condors. Is this true? Well, it is actually not that hard to make 10% per month with iron condors. The problem is, in order to make 10% on your entire account, you would need to place ALL capital into Iron Condors. If you do that, it's only matter of time till your account is toast. Click here to view the article Share this post Link to post Share on other sites
