Diversified Option Selling Portfolio (Page 51) - Options on Futures | futures.io
futures.io futures trading
 

Go Back   futures.io

> Futures Trading, News, Charts and Platforms > Traders Hideout > Options on Futures


Diversified Option Selling Portfolio
Started:September 6th, 2015 (11:22 AM) by myrrdin Views / Replies:26,442 / 581
Last Reply:December 2nd, 2016 (01:20 PM) Attachments:38

Welcome to futures.io.

Welcome, Guest!

This forum was established to help traders (especially futures traders) by openly sharing indicators, strategies, methods, trading journals and discussing the psychology of trading.

We are fundamentally different than most other trading forums:
  • We work extremely hard to keep things positive on our forums.
  • We do not tolerate rude behavior, trolling, or vendor advertising in posts.
  • We firmly believe in openness and encourage sharing. The holy grail is within you, it is not something tangible you can download.
  • 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, and we will never resell your private information.

-- Big Mike
     

Reply
 38  
 
Thread Tools Search this Thread

Diversified Option Selling Portfolio

Old October 14th, 2016, 10:52 AM   #501 (permalink)
Elite Member
Linz Austria
 
Futures Experience: Advanced
Platform: Zaner360, Vantage, Trade Navigator
Broker/Data: DeCarley, RJO
Favorite Futures: Commodities
 
Posts: 680 since Nov 2014
Thanks: 1,032 given, 550 received


Jerard View Post
I see your point, thanks. May ask you where would you look for fundamentals on 2001 year?

The most important influence on NG price at this time of the year is weather. You could check weather reports of this year. But I doubt that this is of any help as we are not in a position to predict weather perfectly.

Best regards, Myrrdin

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

Old October 14th, 2016, 11:08 AM   #502 (permalink)
Elite Member
Ukraine
 
Futures Experience: Beginner
Platform: Zaner360
Favorite Futures: Options on futures
 
Posts: 11 since May 2015
Thanks: 116 given, 6 received


ron99 View Post
The seasonals are bearish but that always depends on the weather. Colder is bullish, normal or warmer than normal is bearish.

Production is down but inventory is above 5 yr avg.

Interesting that IM is only $94. If you use 6X IM and exit at 50% drop in net premium at 30 days then the ROI is 6.5%.

I'd call DCOT bearish because specs are more long than normal.
Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

https://public.tableau.com/profile/ron.h8870#!/

Here is what a spread that was similar did last year. Lost a lot of money.
Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

Referring to NG spread, do i interpreting correctly that spread was sold at ~0.11 while at settlement price (?) 2.180
the short leg premium was 0.5, whereas long leg became worthless? Although, it is interesting that spread was profitable at many points throughout the graph... and how could long leg be worth more than short leg? Or was it 2:1 spread?

Reply With Quote
     

Old October 14th, 2016, 11:23 AM   #503 (permalink)
Market Wizard
OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,324 since Jul 2011
Thanks: 634 given, 3,905 received



Jerard View Post
Referring to NG spread, do i interpreting correctly that spread was sold at ~0.11 while at settlement price (?) 2.180
the short leg premium was 0.5, whereas long leg became worthless? Although, it is interesting that spread was profitable at many points throughout the graph... and how could long leg be worth more than short leg? Or was it 2:1 spread?

On Oct 13, 2015 (yellow vertical line) futures were 2.869 and the spread was 0.016.

The spread is the green line. It was at 0.130 in mid Dec when futures dropped below 1.900. A large loss.

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

Old October 15th, 2016, 11:40 AM   #504 (permalink)
Trading Apprentice
Riga, Latvia
 
Futures Experience: Beginner
Platform: Zaner360
Favorite Futures: ES
 
Posts: 1 since Sep 2016
Thanks: 44 given, 1 received


myrrdin View Post
The most important influence on NG price at this time of the year is weather. You could check weather reports of this year. But I doubt that this is of any help as we are not in a position to predict weather perfectly.

Best regards, Myrrdin

Want to say big thanks, Myrrdin! Spent several days and studied this thread A to Z. IMO this is a very great way for a beginner to learn.
Thanks and best regards, Romandris

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

Old October 15th, 2016, 11:57 AM   #505 (permalink)
Elite Member
Linz Austria
 
Futures Experience: Advanced
Platform: Zaner360, Vantage, Trade Navigator
Broker/Data: DeCarley, RJO
Favorite Futures: Commodities
 
Posts: 680 since Nov 2014
Thanks: 1,032 given, 550 received

Futures Edge on FIO

Are you a NinjaTrader user?

 

romandris View Post
Want to say big thanks, Myrrdin! Spent several days and studied this thread A to Z. IMO this is a very great way for a beginner to learn.
Thanks and best regards, Romandris

You are welcome. Please feel free to ask questions or discuss your considerations for own trades.

Best regards, Myrrdin

Reply With Quote
     

Old October 17th, 2016, 04:46 PM   #506 (permalink)
Elite Member
rutherford NJ
 
Futures Experience: Intermediate
Platform: Sierra xtrader Qtrader
Broker/Data: Amp and Optimus TT and CQG
Favorite Futures: ZS CL NQ NG
 
Posts: 262 since May 2013
Thanks: 184 given, 83 received

live cattle very strange but seasonals point to move up in Nov

Does this match your analysis? Gonna sell puts on a leg down .. since i am hoping for a bounce in Nov.. thoughts?

Reply With Quote
     

Old October 17th, 2016, 05:23 PM   #507 (permalink)
Elite Member
Linz Austria
 
Futures Experience: Advanced
Platform: Zaner360, Vantage, Trade Navigator
Broker/Data: DeCarley, RJO
Favorite Futures: Commodities
 
Posts: 680 since Nov 2014
Thanks: 1,032 given, 550 received


jokertrader View Post
Does this match your analysis? Gonna sell puts on a leg down .. since i am hoping for a bounce in Nov.. thoughts?

My analysis suggests to sell cattle puts on a leg down, but my analysis was severely wrong recently regarding cattle puts ...

According to MRCI the seasonals should move upwards from early October until 20th of October, than move downwards, and move upwards again after approx. 10th of November. But the daily chart does not correlate well with the seasonal chart this year.

Best regards, Myrrdin

Reply With Quote
     

Old October 18th, 2016, 10:11 AM   #508 (permalink)
Elite Member
Linz Austria
 
Futures Experience: Advanced
Platform: Zaner360, Vantage, Trade Navigator
Broker/Data: DeCarley, RJO
Favorite Futures: Commodities
 
Posts: 680 since Nov 2014
Thanks: 1,032 given, 550 received


myrrdin View Post
My analysis suggests to sell cattle puts on a leg down, but my analysis was severely wrong recently regarding cattle puts ...

According to MRCI the seasonals should move upwards from early October until 20th of October, than move downwards, and move upwards again after approx. 10th of November. But the daily chart does not correlate well with the seasonal chart this year.

Best regards, Myrrdin


PS: Friday after the close the Cattle on Feed-Report will be published. Volatility will rise towards this report.

These reports are hard to predict. It could make sense to wait until after the report with the trade entry, or to keep lot size small.


Last edited by myrrdin; October 18th, 2016 at 10:30 AM. Reason: "after the close "
Reply With Quote
     
The following user says Thank You to myrrdin for this post:
     

Old October 19th, 2016, 02:57 PM   #509 (permalink)
Trading Apprentice
westhills california US
 
Futures Experience: Beginner
Platform: TOS
Favorite Futures: FOREX,STOCKS,FUTURES
 
Posts: 28 since May 2015
Thanks: 26 given, 5 received


myrrdin View Post
Rolled the CLF C58-63 to the CLG C63-68, taking a loss of approx. 100 %.

Size of the new position is a little bit more than the original position. That means the only target is now to end up with a minor profit on this trade.

Best regards, Myrrdin

You still got your position on?
Where do you thing we are heading?
Would you say CLG C60-65 is too close before the OPEC meeting?

Reply With Quote
     

Old October 19th, 2016, 03:02 PM   #510 (permalink)
Market Wizard
OH
 
Futures Experience: Advanced
Platform: QST
Broker/Data: QST, DeCarley Trading, Gain
Favorite Futures: Options on Futures
 
Posts: 2,324 since Jul 2011
Thanks: 634 given, 3,905 received



rajab View Post
You still got your position on?
Where do you thing we are heading?
Would you say CLG C60-65 is too close before the OPEC meeting?

I sold the Feb 65-70 spread for 20 cents on Oct 13th.

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

Reply



futures.io > Futures Trading, News, Charts and Platforms > Traders Hideout > Options on Futures > Diversified Option Selling Portfolio

Thread Tools Search this Thread
Search this Thread:

Advanced Search



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

Al Brooks: Stop Losing when a Good Trade goes Bad, Correcting Mistakes

Elite only
 

Trading Technologies: ADL hands-on

Dec 13

Normal webinar schedule resumes after the holidays

January

Ernie Chan: Risk Management

Elite only

Dedicated Trading Servers: Advantages/Disadvantages w/sam028

Elite only

An Afternoon with FIO member Massive I

Elite only

Leo Murphy: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Webinar: Option Selling with and without insurance w/Carley Garner Big Mike Options on Futures 50 March 24th, 2015 06:52 PM
Portfolio Trader no erocla MultiCharts 1 November 27th, 2014 11:56 AM
"DTS" Diversified Trading System - Anybody out there!? ShaunG Vendors and Product Reviews 2 July 30th, 2014 06:54 AM
Diversified Trading Systems soch Vendors and Product Reviews 3 February 18th, 2013 10:12 PM
Portfolio Construction dgresens Psychology and Money Management 3 October 25th, 2012 04:33 AM


All times are GMT -4. The time now is 08:02 PM.

Copyright © 2016 by 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 2016-12-08 in 0.13 seconds with 20 queries on phoenix via your IP 50.16.17.16