Selling Options on Futures?

May 29th, 2013, 01:16 PM

kevinkdog

I just sent them an e-mail asking them to fix it. I think everyone needs to do that.

I am puzzled by this, since it has been a few weeks already, and usually they are very good on customer service issues.

Two weeks ago they replied and said they knew about it and they were going to fix it.

I hate to say this but it appears that the new owners, Charles Schwab, are slowly messing up a good thing.

They prevented new futures IRA accounts. Now I find that when I had to do a LTA (limited trading authority) on an account I trade for a relative, they now require the form to be notarized! I have never seen that anywhere else.

I will give them credit for lowering the commissions.

I have asked for wider symbol boxes for 3 years. They haven't fixed that yet.

May 29th, 2013, 01:25 PM

eudamonia

Agreed, that some of the trades that occur on the other side of the market don't make a lot of sense.

In the next couple of weeks I have quite a few contracts that are expiring. Anyone see anything good that isn't in the softs or energies markets?

I'm looking at August Lean Hogs Calls due to seasonal tendencies and current fundamentals.

If it isn't softs or energies then that leaves metals, livestock, equities and grains.

I've sold far OTM ES puts. I am going to look at W calls and maybe S puts (maybe too late on S), metal calls. I have on CLQ3 70p and NG calls. And a boatload of KC calls.

May 29th, 2013, 01:32 PM

ron99

If it isn't softs or energies then that leaves metals, livestock, equities and grains.

I've sold far OTM ES puts. I am going to look at W calls and maybe S puts (maybe too late on S), metal calls. I have on CLQ3 70p and NG calls. And a boatload of KC calls.

Aren't you concerned about the seasonal bounce that we typically see for Wheat? I haven't been able to find a decent ROI for the ES puts and metal calls that are far enough out.

I am also watching June TY Puts after the big move we have had down recently. Nice ROI but I think we could break a few more $ and the fundamentals aren't encouraging.

May 29th, 2013, 02:05 PM

eudamonia

Aren't you concerned about the seasonal bounce that we typically see for Wheat? I haven't been able to find a decent ROI for the ES puts and metal calls that are far enough out.

I am also watching June TY Puts after the big move we have had down recently. Nice ROI but I think we could break a few more $ and the fundamentals aren't encouraging.

Wheat normally drops a lot in June. It might not drop much this year. The bounce is in July. If I do W calls I will not ride them to expiration.

I'm getting a 2.7-3% ROI for July 1325-1400 ES puts. That's good enough for me.

Yea, now that I checked them out the metal call have a poor ROI. Even at exchange minimum. OX is 50% higher for GC.

kevinkdog · May 29th, 2013, 02:08 PM

ron99

If it isn't softs or energies then that leaves metals, livestock, equities and grains.

I've sold far OTM ES puts. I am going to look at W calls and maybe S puts (maybe too late on S), metal calls. I have on CLQ3 70p and NG calls. And a boatload of KC calls.

What kind of ROI do you target for grains? Every time I look at S, W, C - puts or calls - I get under 2% ROI, which is not enough for me.

Maybe I am being too selective...

May 29th, 2013, 02:48 PM

kevinkdog

What kind of ROI do you target for grains? Every time I look at S, W, C - puts or calls - I get under 2% ROI, which is not enough for me.

Maybe I am being too selective...

Yea almost 2. Not great. But that is still about 24% yearly.

Strangles get you to 3%.

So its either take a lower ROI for some contracts or don't be as diversified in your positions. That is the decision to be made.

May 29th, 2013, 04:10 PM

There are some interesting things going on with those KCU Calls. Good volume going through on the 300's and the 250's. I noticed that the Open Interest is decreasing with the 300's and increasing with the 250's.

Ron, what is your take on that? Could that hedger be moving his hedge? I am still learning here.
raven

May 29th, 2013, 04:37 PM

kevinkdog

I just sent them an e-mail asking them to fix it. I think everyone needs to do that.

I am puzzled by this, since it has been a few weeks already, and usually they are very good on customer service issues.

I was onto them just yesterday. They told me that Internet Explorer has been causing some issues with their new update and that I should download Firefox. Did that and still didn't work......called again and he asked if I was using Windows 8 or 7. Apparently if your on either of those the trade calc doesn't work and you need to upgrade your Windows to 9 or 10. He was under the impression that they were not going to do a fix for the older Windows operating system.

Anyone using 9 or 10 that is still having problems?

May 29th, 2013, 04:42 PM

Raven,

Hard to know. Spreads? Hedging?

The 300s traded 611 times on Friday and OI went up 314. Traded 360 times on Tuesday and OI went down 190. Traded 354 times today.

The 250s didn't trade for 11 trading days then 175 times on Tuesday and OI went up 175. Traded 335 times today.

There has been big volume on the 200s. But the volume there doesn't match day for day the vol on the 300s.

May 29th, 2013, 04:50 PM

crez

I was onto them just yesterday. They told me that Internet Explorer has been causing some issues with their new update and that I should download Firefox. Did that and still didn't work......called again and he asked if I was using Windows 8 or 7. Apparently if your on either of those the trade calc doesn't work and you need to upgrade your Windows to 9 or 10. He was under the impression that they were not going to do a fix for the older Windows operating system.

Anyone using 9 or 10 that is still having problems?

Oh BS on OX.

I use the Opera browser and trade calc doesn't work.

When you say Windows 9 or 10 do you mean Internet Explorer 9 or 10? I don't think there is a Windows 9 or 10.

I just tried OX with IE 10. Windows 7. Trade Calc still didn't work correctly.

Selling Options on Futures?

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Selling Options on Futures?