Advantages of weekly vs monthly options ?

Quote from Eddiefl:

Thanks Xyannix. I noticed there is a big difference in the premiums on spy and spx for similar strike levels.

I am sure someone more experienced than me, can say why.

EF

Oh really? An example, please.
 
Quote from atticus:

Oh really? An example, please.


Its not true??. I may be mistaken then, it seemed like there was more credit to be had on spx while i was looking at them. I could be mistaken

i cant see now, data is off for IB option.

EF
 
Quote from Eddiefl:

Its not true??. I may be mistaken then, it seemed like there was more credit to be had on spx while i was looking at them. I could be mistaken

i cant see now, data is off for IB option.

EF

No, it's not true. It's the most basic vol-arb. Citadel, Susq, Wolverine, GS and many others are involved in it.
 
mothly options has more time to conside. thus most likely you will make money. very suitable for swing trading.

weekly options change from this side to another side so quick. though higher return (%), but most likely you will lose. easily you find yourself in a wrong boat.

to do monthly option make you relaxed. weekly options make you aging faster, you need watch it all the time. book profit fast, entry fast, cut loss and run fast. very suitable for day trading.
 
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