Can someone help me understand EUREX EUR/USD Options? - Options on Futures | futures io social day trading

Can someone help me understand EUREX EUR/USD Options?
 Updated: October 25th, 2015 (04:26 PM) Views / Replies: 577 / 3 Created: October 25th, 2015 (11:15 AM) by cbpapi Attachments: 0

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# Can someone help me understand EUREX EUR/USD Options?

 October 25th, 2015, 11:15 AM #2 (permalink) Quick Summary Quick Summary Post Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

Elite Member
Zurich, Switzerland

Futures Experience: None
Platform: NT
Favorite Futures: Ukulele

Posts: 16 since Mar 2011

Hi @cbpapi,

the cost for options based on futures are different calculated than for equity based options.
You only buy 1 option for 1 future contract - there is no multiplication by 100 (by default).

For the FX option you refrence, eurex is stating the following:

Quoting
 Price quotation and minimum price change The price quotation is determined as a decimal number with five decimal places. The minimum price change is 0.00005, equivalent to a value of five units of the quote currency.

This mean with 1 FX option you get the right to exercise for 1 Lot (100.000 ) of FX Futures.
To calculate the -value of the option you have to multiply the option price with the Tick value of the futures contract (0.0001 price change = 10)

therefore you have to pay 2625 for an option value of 0.02625.

hope this helps

 The following user says Thank You to askerix for this post:

Athens Greece

Futures Experience: Beginner
Platform: DeGiro
Favorite Futures: -

Posts: 2 since Oct 2015

 Hi @cbpapi, the cost for options based on futures are different calculated than for equity based options. You only buy 1 option for 1 future contract - there is no multiplication by 100 (by default). For the FX option you refrence, eurex is stating the following: This mean with 1 FX option you get the right to exercise for 1 Lot (100.000 ) of FX Futures. To calculate the -value of the option you have to multiply the option price with the Tick value of the futures contract (0.0001 price change = 10) therefore you have to pay 2625 for an option value of 0.02625. hope this helps askerix

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