Should I adjust position size before Gold extends gains as US-Iran peace hopes ease inflation concerns - Reuters?

Yes adjust your iron condor position size smaller right now. Gold extending gains on easing US-Iran tensions signals falling inflation expectations and rising risk appetite, which typically compresses implied volatility across SPX. VIX is likely to grind lower toward 12-14, reducing premium collection on new condors while increasing the probability of the market trending and testing your short strikes.

Under the ALVH methodology keep position size at 0.5-0.75 of normal until VIX clearly stabilizes or rebounds above 18. Use tighter 10-15 point wing widths on the put side to stay further away from spot while the equity rally has momentum. Roll or close any existing wide-wing condors that are now only 8-12 points from the short strikes.

Smaller size plus narrower wings protects capital while volatility decays. Once VIX settles and the event risk passes, scale size back to full allocation with standard 20-25 point wings. Current environment favors caution over aggressive selling.