Oops
- Thread starter farmerjohn1324
- Start date
Last week the gap from Friday to Sunday was looks it was $0.6 down. You might get luck this weekend and get an up gap.
That would be $700. I'm not too worried about that.
I just don't want to get stopped out before the uptrend.
Edit: nm that's $4200. I'm tired. Going to sleep now.
There was nothing stopping you from scaling in with your 7 lots, you didnt have to buy them all at once.
It doesn't matter if the contracts move in lockstep. Currently, the volume for CLV20 (October contract) is so paper thin, there's nobody on the other side to take his trade. See the chart I've posted above.
My advice: if you want to trade the really deep back-months, go with crude oil options instead.
Stop confusing volume and depth and spread.
He only has 7 lots, he should ok to get out of his position for the premium the market makers/ arbitrageurs will demand on the bid/ask spread
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They aren't paper-thin! Good grief! Paper-thin is a hundred contracts per day. The Oct 20 contract did 30K+ in volume today. And each day it will only grow in volume.
I don't want to scare you, and I am no expert at all so if the oil experts here could shed their light on this that would be great.
You mention that it would hurt you if the contracts went below 28, or did I misunderstand? Prices went up a lot after Trump's tweet. What if he is wrong and there will not be reduction in production? I would think price might drop just as fast as it went up then, no? It is not unlikely from what I read and hear.
You mention that it would hurt you if the contracts went below 28, or did I misunderstand? Prices went up a lot after Trump's tweet. What if he is wrong and there will not be reduction in production? I would think price might drop just as fast as it went up then, no? It is not unlikely from what I read and hear.