I know that Holy Orthodox does not participate in the sacraments as set forth by those who are in communion with Rome. But does Holy Orthodoxy recognize their sacraments as valid?
In Orthodoxy, only the true Church contains true sacraments. This is essential to our ecclesiology since the Holy Eucharist forms and maintains the Church. We cannot become the Body of Christ through our sharing in the Holy Eucharist, without simultaneously becoming a member of the one ark of salvation - the true Church. To argue otherwise is to state that the Body of Christ is offered and given unto damnation, which is an objectively blasphemous assertion. Because of this belief, the Roman Catholic sacraments could only be valid if the Church of Rome is still part of the Church. This appears to be impossible since Papal Rome has embraced several heresies. However, even a part of the Church that has fallen into heresy, may be given a certain "grace period" by God in order for them to repent before they are totally cut off from the Church. Some would argue that the Church of Rome is still in such a "grace period." I find such an assertion to be very difficult to believe, as Rome is going on nearly 1,000 years of apparently willful heresy. On the other hand, Papal Rome's heresies have always begun and been maintained more at the top than at the local level. Since 1054, most Roman Catholics have been pawns in the great doctrinal adventure of the Roman Pontiffs, than deliberate heretics themselves. Most simply followed their leaders into their current state of objective heresy, rather than choose to leave the Church, themselves. Current Roman Catholics simply inherited the deception of their ancestors, and can hardly be called willful heretics. And since sacraments are present among the common bishops and priests and not only Popes and Rome has retained the form of the sacraments, there might be a possibility that God sees these Roman Catholics as still somewhat connected with Holy Orthodoxy through a period of grace and thus blesses their sacramental actions. However, since we don't know this for certain, we leave the status of their sacraments up to the Lord and focus on where we know for certain the Holy Orthodox Church is.