An iron condor is an options trading strategy that involves four different options contracts. It consists of selling an out-of-the-money call option and buying another further out-of-the-money call option, while simultaneously selling an out-of-the-money put option and buying another further out-of-the-money put option. This creates a range in which the trader expects the underlying asset's price to remain until expiration. The goal of an iron condor is to profit from low volatility in the underlying asset. The maximum profit occurs when the asset's price stays within the range defined by the sold options, allowing the trader to keep the premiums received from selling the options. However, if the price moves outside this range, potential losses can occur.