# Iron Butterfly Strategy

### What is an Iron Butterfly Strategy?

* An **Iron Butterfly** is a **three-leg strategy** in your builder view
* It is a neutral strategy
* It is best when you think price will stay **close to a certain level**
* It is tighter than an Iron Condor, so it gives price less room to move

### Step 1: Bot & Strategy

* Choose **Iron Butterfly**
* Pick your broker
* Name your bot
* Choose the symbol you want to trade
* Choose this strategy if you want a **tighter neutral setup**

### Step 2: Entry Rules

* **Delta Configuration**
  * Choose how aggressive or conservative you want the setup to be
  * Lower delta = less aggressive
  * Higher delta = more aggressive
* **Spread Width**
  * Choose how far the protection wings should be
  * Wider wings = more risk
  * Narrower wings = less risk
* **Days to Expiration (DTE)**
  * Choose the expiration length
* **Min VIX / Max VIX**
  * Set the allowed volatility range
* **Entry Time**
  * Choose when the bot can enter

### Step 3: Exit Rules

* Set when to take profit
* Set when to close if price moves too far away from the center
* Since this is a tighter strategy, exit rules are important to control losses

### Step 4: Risk

* Use position sizing controls
* Limit how many positions can be open
* Keep risk tighter since this strategy gives the market less room

### Step 5: Review

* Review everything carefully before going live
* Make sure the setup matches a neutral view and that the risk is not too high