Iron condor price alerts

This is possible. But the solution requires quite a bit of work. I have simplified this as much as possible. And this is just barely on the edge of a solution I would charge for.

First step is to assemble and custom ticker symbol formula which will compute the value of the Iron Condor:

.SPXW240626C5495 - .SPXW240626C5490 - .SPXW240626P5440 + .SPXW240626P5435

Next step is to insert that formula into the ticker symbol box of the MarketWatch -->> Alerts section of Thinkorswim (first screenshot shown below).

The final step is to create a new Study Alert, insert the following code and update the user inputs to use the OPRA codes of your current Iron Condor. Here is the custom script, which has been updated to used the same options strikes shown in your example:

input longCall = ".SPXW240626C5495";
input shortCall = ".SPXW240626C5490";
input shortPut = ".SPXW240626P5440";
input longPut = ".SPXW240626P5435";
def priceLongCall = close(longCall);
def priceShortCall = close(shortCall);
def priceShortPut = close(shortPut);
def priceLongPut = close(longPut);
def spreadValue = priceLongCall - priceShortCall - priceShortPut + priceLongPut;
plot alert = spreadValue > 0.01 or spreadValue < 0.01;

The second screenshot below shows this script installed in a Study Alert.

The last line is designed to trigger on every bar. The time frame I applied to the Study Filter in this example is a 5 min time frame. You can choose whatever time frame works for you, from among the list of supported time frames. You can adjust the values in the last line of code to avoid nuisance alerts or target a specific range of values.

The final screenshot shown below shows an example of the alert which was generated and sent to myself via SMS messaging. You may select sms, push, or email notifications by adjusting your settings in Thinkorswim.

I don't have a lot of experience with this. This method is a combination of various techniques I have learned over the years. I have no idea how reliable it is. But the most important part is that you select a spread which is widely traded. Because the alert is only triggered based on the "close" price of each bar in the selected time frame. And if no trades have occured, the alert will not be triggered.

So, for the advanced users, you may consider experimenting with another price type as shown below:

def priceLongCall = close(symbol = longCall, priceType = PriceType.MARK);