Selling Options on Futures? - Options on Futures | futures io social trading
futures io futures trading


Selling Options on Futures?
Updated: Views / Replies:658,585 / 6,181
Created: by ron99 Attachments:714

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Reply
 714  
 
Thread Tools Search this Thread
 

Selling Options on Futures?

  #2041 (permalink)
Trading for Fun
Houston, Texas
 
Futures Experience: Advanced
Platform: Interactive Brokers, OptionsXpress
Broker/Data: Options Express
Favorite Futures: Options on Futures
 
MJ888's Avatar
 
Posts: 165 since Sep 2012
Thanks: 37 given, 123 received

There is a lot of truth in that article Ron. I would trade it accordingly but would keep my position smaller than usual just so I would be able to deal with the volatility. During the next week or so before the strike on Syria I will look to sell some CLZ13 150C or 160C on a rally. That's my two cents worth on CL options..................Thoughts anyone?

Reply With Quote
 
  #2042 (permalink)
Market Wizard
Cleveland Ohio/United States
 
Futures Experience: Advanced
Platform: Tradestation
Broker/Data: various
Favorite Futures: futures
 
Posts: 2,276 since Jul 2012
Thanks: 1,066 given, 4,130 received
Forum Reputation: Legendary


ron99 View Post
Trade Alert?

Oct HO 3.95 calls settled yesterday at .0001. They are bid 97 times at .0010. 27 DTE. Futures are down .0089.

I don't know the margin because it has no OI so SPAN does not calculate a margin. We will have the margin amount tonight because it has traded 3 times.

Is it worth the risk to make $42 - fees? You will make most of that tonight if it settles at .0001.

Note to OX traders. If a contract has no OI you have to call the order in to their trading desk. You can't do it online.


These options are now .0005 bid, with 20 days to expiration. Based on last night's margin requirement, I get 14% monthly ROI after commissions. Theoretical price is .0001.

Not a good of a deal as last week, but still a pretty enticing return...

If you have any questions please send me a Private Message or use the futures.io "Ask Me Anything" thread
Reply With Quote
The following user says Thank You to kevinkdog for this post:
 
  #2043 (permalink)
Market Wizard
Cleveland, OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,616 since Jul 2011
Thanks: 756 given, 4,492 received
Forum Reputation: Legendary



kevinkdog View Post
These options are now .0005 bid, with 20 days to expiration. Based on last night's margin requirement, I get 14% monthly ROI after commissions. Theoretical price is .0001.

Not a good of a deal as last week, but still a pretty enticing return...

Thank you.

Kevin, did you notice how there were too high bids for strikes 3.54 to 3.90. I suspect a software program is confused by the .0005 trade in the 3.95s and putting in those too high bids.

I traded one of them and the rest disappeared.

Reply With Quote
 
  #2044 (permalink)
Market Wizard
Cleveland Ohio/United States
 
Futures Experience: Advanced
Platform: Tradestation
Broker/Data: various
Favorite Futures: futures
 
Posts: 2,276 since Jul 2012
Thanks: 1,066 given, 4,130 received
Forum Reputation: Legendary


ron99 View Post
Thank you.

Kevin, did you notice how there were too high bids for strikes 3.54 to 3.90. I suspect a software program is confused by the .0005 trade in the 3.95s and putting in those too high bids.

I traded one of them and the rest disappeared.


Yes, I did notice that. I wasn't sure what was going on, but I did notice around 3.54 that the bids were above theoretical price, which was reversal from lower prices. That made me think a good deal was to be had. I only picked up 20 of them, though...

If you have any questions please send me a Private Message or use the futures.io "Ask Me Anything" thread
Reply With Quote
 
  #2045 (permalink)
Market Wizard
Cleveland, OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,616 since Jul 2011
Thanks: 756 given, 4,492 received
Forum Reputation: Legendary

I learned my lesson from last time and made room for these that had a better ROI than what I had on.

Reply With Quote
 
  #2046 (permalink)
Elite Member
Las Vegas
 
Futures Experience: Beginner
Platform: NinjaTrader
Broker/Data: Zen-Fire
Favorite Futures: ES
 
Posts: 14 since Jun 2009
Thanks: 65 given, 2 received

.HO trade

Hi,
finally catch up to this point. ;-)

anyway, I just check from TOS, there is 200 OI for the HO Oct. 3.90, no volume at all, or any volume on any strikes. when I try to put in a trade, it come up as not tradable. Did you put it through OX?
The only tradable stuff from TOS is ES NQ CL CG SB, NG. Not as many as Kevin listed.

Thx!

Wes


Last edited by kingfish88; September 6th, 2013 at 02:19 PM.
Reply With Quote
 
  #2047 (permalink)
Market Wizard
Cleveland, OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,616 since Jul 2011
Thanks: 756 given, 4,492 received
Forum Reputation: Legendary


kingfish88 View Post
Hi,
finally catch up to this point. ;-)

anyway, I just check from TOS, there is 200 OI for the HO Oct. 3.90, no volume at all, or any volume on any strikes. when I try to put in a trade, it come up as not tradable. Did you put it through OX?
The only tradable stuff from TOS is ES NQ CL CG SB, NG. Not as many as Kevin listed.

Thx!

Wes

OX trades the vast majority of commodities. TOS is not very option selling friendly. As you found out not all commodities tradeable.

Reply With Quote
The following user says Thank You to ron99 for this post:
 
  #2048 (permalink)
10 out of 10
Sacramento, CA
 
Futures Experience: None
Platform: None
Broker/Data: OX and DeCarley
Favorite Futures: Futures options
 
eudamonia's Avatar
 
Posts: 310 since Jul 2010
Thanks: 299 given, 424 received


ron99 View Post
OX trades the vast majority of commodities. TOS is not very option selling friendly. As you found out not all commodities tradeable.

Do you still have to call OX to make these trades? I show 200 OI on the 3.95 but nothing on the bid.

Reply With Quote
 
  #2049 (permalink)
Market Wizard
Cleveland Ohio/United States
 
Futures Experience: Advanced
Platform: Tradestation
Broker/Data: various
Favorite Futures: futures
 
Posts: 2,276 since Jul 2012
Thanks: 1,066 given, 4,130 received
Forum Reputation: Legendary

OEX says their Trade Calculator will be fixed by the end of the month, September 30, 2013.

If you have any questions please send me a Private Message or use the futures.io "Ask Me Anything" thread
Reply With Quote
 
  #2050 (permalink)
Market Wizard
Cleveland, OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,616 since Jul 2011
Thanks: 756 given, 4,492 received
Forum Reputation: Legendary



eudamonia View Post
Do you still have to call OX to make these trades? I show 200 OI on the 3.95 but nothing on the bid.

No. Only when OI is zero.

Bids right now are gone for 3.95. Looks like somebody wanted 200 and are done for now. Somebody is offering at .0004 and not getting them.

Reply With Quote
The following user says Thank You to ron99 for this post:

Reply



futures io > > > > Selling Options on Futures?

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

July Journal Challenge w/$1100 in prizes from TopstepTrader

July

John @ No BS Day Trading (TBA)

Elite only

An Afternoon with FIO member Softsoap (being rescheduled)

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Crude Oil (CL) futures inverse pairing options Big Mike Commodities Futures Trading 8 December 12th, 2013 11:00 AM
Recommend futures, options Broker? sam1197 Reviews of Brokers and Data Feeds 17 March 27th, 2013 12:42 AM
Trading Futures with options as protection Gooffy2010 Commodities Futures Trading 6 October 2nd, 2012 04:55 PM
Selling Njniatrader sam1197 NinjaTrader 22 June 28th, 2012 12:40 PM
Zen-Fire Futures options tici88 Reviews of Brokers and Data Feeds 1 July 30th, 2011 09:16 AM


All times are GMT -4. The time now is 06:29 PM.

Copyright © 2017 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts
Page generated 2017-06-24 in 0.08 seconds with 19 queries on phoenix via your IP 107.22.17.220