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- Defining options on futures
- Buying and Selling options on futures
- Premium
- Margin
- Spreads
- Why options on futures vs ...
- Options by Commodity
so you're getting about $40-$50 on the calls and about $100 on the puts?
the 83 puts show a delta of .02 and only have 38 days to go. I plan on buying them back end of dec and put the margin into something further out.
Are you buying back your options yet or letting them expire?
Hey Kevindog - thanks for this. I didn't realise that IB didn't use the SPAN minimum calculation and that they applied their own margin rules. Your right, it certainly does eat into my return so I'll be looking around for other brokers that are more aligned to my trading plan...
Hey datahogg - Thanks for the reply....Yes, the margin to profit ratio for the trade I placed doesn't seem 'ideal' for how I want to trade. Hence, my question about seeking any advice on how people identify the assets that do profit high IV with low delta to sell. I'm amazed that the 1515 (Jan) IM was so low. I assume this was for 1 contract??? Even so, it is still much lower than the amount of IM that I had to pay for each contract....
Yes the IM was for 1 contract. I had only 5 total. Maybe IB uses REG - T margin instead of Span Margin for
options on futures?? At any rate, good luck.
On 11/27 11,700 Feb strangles traded. 3.00 puts 5.15 calls for a combined price of .010. Today it settled at .025. Or a $1,755,000 loss so far for the seller.
Did you roll you're 5.50s into the 6.00 or are you just selling more?
I'm looking forward to your webinar Thurs. Never been to one. Always find it interesting and educational on how others see and trade the markets. There use to be some very astute traders on the TFC forum. Very smart, and always willing to help. You remind me of those people. Hard to find that now without all the bickering on any of the commodity boards. Thanks
