contracts with little vol

C

cashmoney69

I trade forex mainly, but I thought about opening a small 2k account with thinkorswim and trade the forex etf's like FXB, and FXE...and maybe spy options here and there.

my question: should low volume contracts be avoided at all costs or is there an edge?
 
There's no edge for a retail trader in low-volume contracts. You're on the wrong side of the wide bid-ask spreads. Stick with the liquid stuff with tight bid-ask spreads.
 
If you are looking for something else besides spot forex than maybe look at the forex futures which are pretty liquid with tight b/a spreads (all depending on the currency of course). I do not think the options on low volume fx etfs will give you much joy
 
Quote from optioncrotch:

If you are looking for something else besides spot forex than maybe look at the forex futures which are pretty liquid with tight b/a spreads (all depending on the currency of course). I do not think the options on low volume fx etfs will give you much joy
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Good point optioncrotch. As usual you are on the ball. :)
 
whats a reasonable amt of volume for options? i know qqqq and spy get a lot but besides those two, and are index options. I guess ndx is good too?
 
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