CME serial month options

[SysVolTrader]

Hello all,

Does anyone know why CME has stopped listing FX and ES monthly serial options (Jan, Feb, Apr, May, Jul, Aug, Oct, Nov)?

Where most of the liquidity of these serial month options went?

 

[MattZ]

Consider the weekly Fri and Wed Options expirations.

 

[SysVolTrader]

Consider the weekly Fri and Wed Options expirations.

Thanks for the info.
This is for ES options, right? What about FX options?

 

[MattZ]

Thanks for the info.
This is for ES options, right? What about FX options?

Yes, this is for ES Options. This is the instrument the majority of our customers trade.
As for FX, I know they have added Euro style options, but I did not dig into this a lot because we don't have lots of demand for this options. However, I hope this helps http://www.cmegroup.com/market-data/volume-open-interest/fx-volume.html

 

[Steven Leeds]

Hello all,

Does anyone know why CME has stopped listing FX and ES monthly serial options (Jan, Feb, Apr, May, Jul, Aug, Oct, Nov)?

Where most of the liquidity of these serial month options went?

Can't speak to FX as I have nothing to do with the foreign currency exchange market. But, as for the E-mini S&P 500 futures options, there are 4 types of options for the ES. American style (the quarterlys) and European style (EOM, Weekly and Weekly (Wednesday)).

To answer your question, Back in January 2016 the CME, in Advisory Notice Chadv 16-205, stated, in part;

Effective Sunday, February 21, (trade date Monday, February 22) Chicago Mercantile Exchange, Inc. (CME or EXCHANGE) will list..

1) Week 3 European Style Options (EV3) on Standard and Poor's 500 Stock Price Index Futures replacing American Style Serial Options on Standard and Poor's 500 Stock Price IndexTM Futures, and

2) Week 3 European Style Options (EW3) on E-mini Standard and Poor's 500 Stock Price Index Futures replacing American Style Serial Options on E-mini Standard and Poor's 500 Stock Price Index Futures.

April 2016 and May 2016 American Style Serial Options currently listed for trading will not be affected and will expire as regularly scheduled. No new American Style Serial option months will be listed upon expiration of these option contracts.

In other words the Weeklys replaced the Serials.

For more information you can view the entire Advisory Notice here;

CME Group Advisory Notice
http://www.cmegroup.com/tools-information/lookups/advisories/clearing/files/Chadv16-025A.pdf

For more information on the ES options including both American style and European Style (EOM, WKLY, WKLY Wed.) see the following;

Weekly and End-of-Month Equity Index Options on Futures
http://www.cmegroup.com/trading/equity-index/files/advantages-eq-options.pdf
http://www.cmegroup.com/trading/equity-index/weekly-eom-options-faq.html

E-mini S&P 500 Options Contract Specifications

http://www.cmegroup.com/trading/equ...ontractSpecs_options.html#optionProductId=136

http://www.cmegroup.com/trading/equ...ontractSpecs_options.html#optionProductId=138

http://www.cmegroup.com/trading/equ...ntractSpecs_options.html#optionProductId=2915

http://www.cmegroup.com/trading/equ...ntractSpecs_options.html#optionProductId=8227


Also see Chapter 358 and 358A of the CME's Rulebook

https://www.cmegroup.com/rulebook/CME/

https://www.cmegroup.com/rulebook/CME/IV/350/358A/358A.pdf


For anyone trading any product (Options, Futures, Stocks, ETFs, etc) it's important to study and understand the mechanics of what you're trading. Contract specs, minimum tick size, expiration time and day, and so on. One of the best places to get that information, in the case of futures options, is the CME's website.

Best

Steve