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Selling Options on Futures?
Started:July 19th, 2011 (06:16 PM) by ron99 Views / Replies:569,332 / 5,728
Last Reply:December 6th, 2016 (05:26 PM) Attachments:642

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Selling Options on Futures?

Old October 10th, 2013, 02:37 PM   #2211 (permalink)
Market Wizard
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josh View Post
Thanks john and ron. Sorry about the mistype, I meant $80! Ron, I did not take into consideration the increase in margin requirement that would occur if crude were to drop as in this example. In futures the margins don't change very often, so this is not something I typically have to deal with, but it makes sense that as an exercise becomes more likely, that you are asked to have more capital on hand in the event of an exercise. Thanks guys for humoring my basic questions.

For example, the margin on a Jan 95 put ($6 less than futures to match your example of 76 vs 82) is $2,437 at OX. Premium yesterday was $1,610. So you had to have $3,687 excess to not be on margin call today.

Of course timing and quickness of the drop affect these numbers.

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Old October 10th, 2013, 04:01 PM   #2212 (permalink)
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OPTION TRADER makes $105MM PROFIT in the NDX, SPX & RUT - Her STORY Uncovered - YouTube

In this video at 3 minute mark he states Karen Super Trader is currently trading 190 million of which 105 million is profit. So 85 million of deposits in fund. Over 3.5 years that is about 30% per year. Pretty good but not the mind boggling numbers you think when you first see the title of the video.

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Old October 10th, 2013, 04:07 PM   #2213 (permalink)
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Any computer gurus out there?

I am trying to make this work
http://www.cmegroup.com/confluence/display/pubspan/Script+Language+for+PC-SPAN+v.4.05+and+SPAN+Risk+Manager


Quoting 
PC-SPAN version 4's scripting component is available as a separate utility, called spanit. You can call it from the command line or batch file by issuing the following command:
spanit fileName
Where fileName is a fully specified pathname of the script file.


Quoting 
Script should be written as a regular ASCII file. There are no restrictions on the naming of the file other than restrictions placed by the file system. Every command in the file should be on a separate line (CR serves as a delimiter). Parameters for commands are delimited by comma (any number of spaces between parameters is allowed). Any number of empty lines is allowed between commands. Comments should be placed on separate lines.

I am trying to do the Load command but having no luck. Can someone walk me thru it?

call it from the command line or batch file by issuing the following command: spanit fileName ???

Script???

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Old October 10th, 2013, 04:27 PM   #2214 (permalink)
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ron99 View Post
Any computer gurus out there?

I am trying to make this work
http://www.cmegroup.com/confluence/display/pubspan/Script+Language+for+PC-SPAN+v.4.05+and+SPAN+Risk+Manager



I am trying to do the Load command but having no luck. Can someone walk me thru it?

call it from the command line or batch file by issuing the following command: spanit fileName ???

Script???


You first have to find spanit on your PC. Go to start menu, select run, then browse. It depends where you installed span program originally. I found mine at "C:\Program Files (x86)\Span4\Bin\spanit.exe"

That will at least get you to execute spanit. Then comes the script stuff. I'll try to read up on that.


By the way, what are you hoping spanit will do for you?

If you have any questions please send me a Private Message or use the futures.io "Ask Me Anything" thread
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Old October 10th, 2013, 04:50 PM   #2215 (permalink)
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Are you a NinjaTrader user?

 

kevinkdog View Post
You first have to find spanit on your PC. Go to start menu, select run, then browse. It depends where you installed span program originally. I found mine at "C:\Program Files (x86)\Span4\Bin\spanit.exe"

That will at least get you to execute spanit. Then comes the script stuff. I'll try to read up on that.


By the way, what are you hoping spanit will do for you?

I want it to load the daily files, CME & NYB (ICE) files. Run the program (Calc) to see new margins, save portfolio.

Trying to save the time it takes to do all of those steps manually.

I tried running spanit from lower left command line using run and full path to spanit. It runs for about 0.10 seconds, a box pops up and is gone before I can read it, and does nothing.

Do you make the script using Notepad? It wants an ASCII file.

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Old October 10th, 2013, 04:58 PM   #2216 (permalink)
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ron99 View Post
I want it to load the daily files, CME & NYB (ICE) files. Run the program (Calc) to see new margins, save portfolio.

Trying to save the time it takes to do all of those steps manually.

I tried running spanit from lower left command line using run and full path to spanit. It runs for about 0.10 seconds, a box pops up and is gone before I can read it, and does nothing.

Do you make the script using Notepad? It wants an ASCII file.

Sounds like a great time saver, it just looks pretty complicated at first glance. Yes, try writing the Script in Notepad. That will give you an ascii file.

If you have any questions please send me a Private Message or use the futures.io "Ask Me Anything" thread
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Old October 10th, 2013, 11:35 PM   #2217 (permalink)
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Bakes View Post
BlueRoo/Turch,

A penny for your thoughts. I have followed Ron's methods fairly closely over the last year for very good results. I guess my main deviation from Ron's trading is where i find it worthwhile to make a trade. From memory Ron is more than willing to sell CL @ 0.02-3, whereas for me, because of our higher commission charges here in Aust i do not see that as worthwhile. I generally look to sell most options at around 0.05-6. Do you guys generally look at slightly higher Premium per option than the guys in the US because of our higher commission charges?

Regards,

Bakes


No I don't look for higher premium to cover commissions. It is the cost of doing business. I do not really consider the premium over where the strikes are and probability to expire worthless. I focus on probability, time decay and liquidity.

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Old October 13th, 2013, 06:58 PM   #2218 (permalink)
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I was pretty easily able to access the PC-SPAN data and margins for most of the products but I'm a bit stumped on where to get data for CL. The NYMEX data is there under the CME data set for futures but no options are available.


Last edited by eudamonia; October 13th, 2013 at 07:04 PM. Reason: Found NYBOT data
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Old October 13th, 2013, 07:19 PM   #2219 (permalink)
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Option data is made available on the positions tab under product type.

Sorry that was wrong for CL. You need to know the product code for NYMEX & COMEX options.

CL is LO
RB is OB
HO is OH
NG is ON


Last edited by ron99; October 13th, 2013 at 09:36 PM.
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Old October 13th, 2013, 07:30 PM   #2220 (permalink)
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options on futures


Hi Ron99

Do you ever trade spreads . I tried a simulated spread and it seemed hard to close out. I would love to
learn more as my day trading the eminis is not getting the results that I had hoped for. Thanks for your
response.
Richh

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