ELI5 on Futures Options?

A

anycolour

Hey, just discovered Futures Options trade 23/6 just like futures.

Thoughts on trading Option Futures? For /ES, /CL, etc. Please link to good resources/threads/etc. to learn. There's not much stuff online to learn about these, much less good stuff.

Also, this is confusing me, why are the Jan 20s still trading right now (Today's date is January 26, 2020. Is Jan 20 meant for January 2020, not January 20, 2020?

upload_2020-1-26_22-41-42.png


What is the difference, for example, with all the Feb 20s. There are 10 of them. Are some better than another in some way? Any to avoid?

Thanks
 
Love futures options, sold them all the way down last week.

Jan 2020 not January 20. The contract specs will tell you.

Only problem is I don't like the spread but it's fine if you're not doing intraday trading. Not as tight as SPY/QQQ options. If I were doing intraday options trading, I'd stick to the equity ETFs but any sort of swing trading, FOPS for sure. This means volume on FOPs isn't that great so quite often you're the only one trading. I feel like this is a bad thing.
 
Do they follow the greeks in the same way as regular equity options? Same theta decay, etc.?

When trading these one must look for higher volume and open interest in order to best ensure getting filled, correct?
 
anycolour said:
Do they follow the greeks in the same way as regular equity options? Same theta decay, etc.?
More...

Same ideas, yes.

anycolour said:
When trading these one must look for higher volume and open interest in order to best ensure getting filled, correct?
More...

If you hit the bid/ask then you'll get filled. During a normal day I'll get filled at midpoint no problem. Seems to have active market making participation.
 
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