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You can't do that spread for a debit as the July call will always be worth more than the April one, unless you feel like giving away free money.

It's a diagonal spread not a diagonal vertical spread. A diagonal spread where you long the front month and short the back month can be broken down into a long 40/50 call vertical in July and a reverse 40 call calendar in April. Essentially, you want the stock to be away from 40 on April...

If it's a May put then it can't have a Mar futures contract as underyling.

you can see them in thinkorswim platform, which offers the in-house charting as well as prophet.

The contracts are not adjusted. Well at least not according to TOS, which usually marks the non-standard ones.

It's a hard to borrow stock so the options seem out of whack, but they merely reflect this fact.

I don't think so. Even if the bank holding the segregated account fails it cannot touch that money. The money in that account don't just dissipate into thin air. However, I agree that if any of these big banks fail then it would be the end of the world as we know it and the destiny of your...

Refco was a perfect example. All the futures accounts were bought out by another firm within days and customers received all of their money. Forex accounts, which are under OTC business and thus are not segregated, lost pretty much everything. Segregated means that the funds are held in a...

If your account is "segregated" then it's safe irrespective of a broker.

If you account is segregated then your money is not part of the BAC and thus it is safe even if BAC goes under.

Futures are contracts not securities so there's no limit to how many can exist. In fact, until a buyer and a seller meet and make a trade a contract doesn't exist (assuming both are opening a new position).

Even if you only require execution, commissions are only one of the factors that you should consider when choosing a broker. I'd say quality of exection and platform stability/reliability are arguably more important than low commissions.

Thinkorswim and they clear with Penson.

Do you have option market makers that are required to quote a two-sided market in Russia? If you do then using the mid-point between the bid and ask is te obvious solution to finding implied volatility, which is also used elsewhere around the world, as last trade prices are unusable as some...

I understand, but I'm sure they would at least tell you what parameters they are using to calculate it for illiquid stocks, wouldn't they!?

Why don't you start with the obvious!? Ask the exchange how it calculates the volatility parameter!

Once again, there is no single way to estimate volatility. Read the books suggested by cvds. If you have read them and still don't understand a thing about volatility then maybe options trading is not for you, or at least volatility trading is not for you.

The quoted prices on LSE are in pennies.

IV or Implied Volatility is just a number that you get by plugging in the market price of an option into an option pricing model, such as Black-Scholes or Binomial, and then solving for volatility. The reason for doing this is that in option pricing volatility is the only unknown/unobservable...

It also depends on what you are trading. if it's futures then your account is segregated and your money is separate from that of the brokerage/clearing firm.