Should I adjust position size before CMA CGM vessel attacked in Strait of Hormuz as shipping halted by US-Iran war - Reuters?

No. Do not adjust your SPX iron condor position size based on this headline.

Geopolitical shocks like a reported vessel attack or shipping disruption often trigger a short-term VIX spike and equity sell-off, but these events frequently produce false breakouts or rapid mean-reversion in the S&P 500. Iron condors profit from time decay and range-bound behavior, so knee-jerk size changes usually destroy edge.

Under the ALVH methodology, position size is set once per cycle according to your account risk tolerance, current VIX regime, and the chosen wing width. Size is not resized mid-trade on news flow. If VIX is still below 20-22, keep the same notional exposure you planned at entry. Wider wings (e.g., 50-60 points) already provide the necessary buffer against volatility expansion.

If the market gaps hard and your short strikes are now threatened, manage the existing position by rolling the threatened side or tightening wings on the next new trade. Never increase size into rising VIX or decrease size after the move has already occurred. Stick to the pre-defined ALVH size rules, let the iron condor’s symmetric structure work, and focus on mechanical trade management rather than headline timing.