I'm hoping someone can provide some clarification on how margins work on ES weekly options. Do you need to meet the initial margin for these contracts or do the margins work differently? Thanks!
Question on ES Weekly Options Margins
- Thread starter Tstriker25
- Start date
Well i actually believe that the longer you are exposed to sort of risk/naked option, the more margin you have to maintain because the probability of getting to that strike is higher.
It will fall under the same methodology.
http://www.cmegroup.com/clearing/files/span-methodology.pdf
If somebody could break this down to an elementary level would be nice. I wonder if you can approximate this on a spreadsheet give or take a few hundred. But then, the rate posted on your broker site should be good enough for fast decision making.
Also, included in an example scan or possible moves.
http://www.cmegroup.com/clearing/files/span-methodology.pdf
If somebody could break this down to an elementary level would be nice. I wonder if you can approximate this on a spreadsheet give or take a few hundred. But then, the rate posted on your broker site should be good enough for fast decision making.
Also, included in an example scan or possible moves.
