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Diversified Option Selling Portfolio


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Diversified Option Selling Portfolio

  #1391 (permalink)
 myrrdin 
Linz Austria
 
Experience: Advanced
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For the European traders:

Markets will open 1 hour earlier today, as the US will swith to winter time some weeks later.

Exceptions: The softs also traded in London (coffee, cocoa) will open as usually (for Europeans).

Best regards, Myrrdin

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  #1392 (permalink)
 ron99 
Cleveland, OH
 
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myrrdin View Post
For the European traders:

Markets will open 1 hour earlier today, as the US will swith to winter time some weeks later.

Exceptions: The softs also traded in London (coffee, cocoa) will open as usually (for Europeans).

Best regards, Myrrdin

US changes time Sunday Nov 4th.

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  #1393 (permalink)
 myrrdin 
Linz Austria
 
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Extremely high volatility in Crude Oil.

Sold the CLZ9 P28/C92 for $ 820.

Best regards, Myrrdin

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  #1394 (permalink)
 sapiens 
Singapore
 
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myrrdin View Post
Extremely high volatility in Crude Oil.

Sold the CLZ9 P28/C92 for $ 820.

Best regards, Myrrdin


Thanks! Looking to get in on Oil too. Which strikes/expiry is that?

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  #1395 (permalink)
 myrrdin 
Linz Austria
 
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sapiens View Post
Thanks! Looking to get in on Oil too. Which strikes/expiry is that?

Z9 stands for December 2019, P and C for Put and Call, 28 and 92 are the strike prices.

Best regards, Myrrdin

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  #1396 (permalink)
 sapiens 
Singapore
 
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myrrdin View Post
Z9 stands for December 2019, P and C for Put and Call, 28 and 92 are the strike prices.

Best regards, Myrrdin

Wow, that's very far out! Is there a specific strategy u are using for this trade?

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  #1397 (permalink)
zxcv64
London, UK
 
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"Extremely high volatility in Crude Oil."

Hi Myrrdin, I imagine this trade is a pure volatility play and time decay is not the main aim here. What tool do you use to watch the options volatilities? I have TWS from IB and although they have the Volatility Lab, I'm not quite sold on it yet.

Cheers

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  #1398 (permalink)
 myrrdin 
Linz Austria
 
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sapiens View Post
Wow, that's very far out! Is there a specific strategy u are using for this trade?

No, I do not use standardized strategies. I am a discretionary trader, investigating each trade separately.

Diversification is extremely important for me. This is true not only for diversification of various commodities, but also for diversification of strategies for the trades.

Best regards, Myrrdin

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  #1399 (permalink)
 myrrdin 
Linz Austria
 
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zxcv64 View Post
"Extremely high volatility in Crude Oil."

Hi Myrrdin, I imagine this trade is a pure volatility play and time decay is not the main aim here. What tool do you use to watch the options volatilities? I have TWS from IB and although they have the Volatility Lab, I'm not quite sold on it yet.

Cheers

I use the MRCI data base.

In this case, it was obvious that the large move down of the Crude price would offer excellent possibilities for selling very far OTM options. To benefit from this extreme situation for a long time, I decided to sell the December 19 options.

I intend to hold the position down to 25 % or 50 %.

Tonight prices were even higher. Probably there will be a good possibility again tomorrow.

Best regards, Myrrdin

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 SMCJB 
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myrrdin View Post
Extremely high volatility in Crude Oil.

Sold the CLZ9 P28/C92 for $ 820.

Best regards, Myrrdin

If I interpret this CME Performance Bond Requirement (aka margin) changes correctly it is saying that they are increasing the volatility scan ranges for most oil options effective after the close of business on November 15, 2018. ie Margin requirements for most Options will go up.

https://www.cmegroup.com/content/dam/cmegroup/notices/clearing/2018/11/Chadv18-452.pdf

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