Interesting

Samir (Sam) Madani ‏@Samir_Madani 16m16 minutes ago

I call COMPLETE and UTTER BS that #Iraq will cut while #Iran boosts production! They share 5 fields together. 2 straws, one cup! #OPEC #OOTT

More at #OOTT

-William

DaxyMcDaxFace 

What does he mean by volatility products? You can trade oil volatility with options/futures......? Apols if misunderstood.

Probably means OVX.
Maybe not important but I believe OVX is based upon the ETF USO's options and not CL options.

SMCJB 

Probably means OVX. Maybe not important but I believe OVX is based upon the ETF USO's options and not CL options.

Yes sir, CBOE



-William

There might be some exploitable edge tracking OVX but only for HFT. To the human eye they are effectively lockstep.


Sent from my iPad using NexusFi mobile app

@Redhouse not sure I understand. What is OVX effectively lockstep with?

Big 2 day move...



But what's interesting to me is how the spreads changed...



So in $6 move, all the front month spreads where virtually unchanged, while spreads 6 months down the curve moved 20c!

This creates the situation that in a $6 move, the front 7 butteflies declined!

They frequently discuss OVX on Volatility Views. I don't think there is a "volatility product" based on it.

In the volatility trading space, "volatility products" usually refers to VIX options, VX futures, and the ETFs and ETNs.

I took that as an ironic comment.

suko 

They frequently discuss OVX on Volatility Views. I don't think there is a "volatility product" based on it. In the volatility trading space, "volatility products" usually refers to VIX options, VX futures, and the ETFs and ETNs. I took that as an ironic comment.

The CBOE used to list a futures contract, "OV" I believe, that was based upon the OVX but I believe they discontinued it as it didn't trade.

I could be wrong but somebody is trading (??) OVX

-William

I think you'll find OVX is just a calculated index.