SPX Credit Spread Trader

For the 5 March 1275 short straddles the margin a la OX is $75,000 at the current SPX value today. So the max gain of $9,700 would be a return of 13.8% in a week.

However I doubt I will get the full value even if I hold to expiration so I will be happy to get out with half the premium...

Quote from Synaptic:

Coach,

What are the equity requirements for your MAR short straddle ... 5 contracts right ?:confused:
More...
 
You would need to see all the time and sale history trades for each individual strike today to calculate possible spread prices since the spreads do not show up as a spread but the strikes. Not sure if OX will have that for you though.

Quote from piccon:

Coach,

Is there any place I can go to review a spread price at a specific time.

This morning I placed 3 put spreads orders; The S&P lost 7 points and I was due for a fill and never got filled. I called OX 10 minutes go and they told me that the system was down at SEBEL Ex and they were going to review the trades to see If in fact I was due and they will fill my orders if necessary.

Do you know any site I can review it myself?

Thanks
More...
 
You can go here and het inter-day and intra-day option quotes on current contracts.

http://host.businessweek.com/businessweek/Historical_Quotes.html?Button=NEW+REQUEST&Symbol=WIB+AR

Enjoy,

Murray



Quote from piccon:

Coach,

Is there any place I can go to review a spread price at a specific time.

This morning I placed 3 put spreads orders; The S&P lost 7 points and I was due for a fill and never got filled. I called OX 10 minutes go and they told me that the system was down at SEBEL Ex and they were going to review the trades to see If in fact I was due and they will fill my orders if necessary.

Do you know any site I can review it myself?

Thanks
More...
 
Quote from gatorplease:

one too many!?!?!:eek: :p :eek:
More...

Oh..... come on!!! I don't seem like a likeable enough guy to stay married?:p

Actually, I've only been married once and still am. I married one much younger than me so she hasn't figured out that she could've done a lot better yet. SCORE!!!!:D
 
Spreads are not recorded, the individual legs are recorded and you need to see time and sales data from the day on both strikes.

But this will not help you at all since you will not know the bid/ask spreads and what you might have been filled on a spread with a limit order. So I am not sure it is going to help you really.


Quote from piccon:

I am not looking for Historical price. I need the cost of the Spreads

Example: SPX 1335/1325 Put Spreads during the day.

Thanks
More...
 
Quote from optioncoach:

Spreads are not recorded, the individual legs are recorded and you need to see time and sales data from the day on both strikes.

But this will not help you at all since you will not know the bid/ask spreads and what you might have been filled on a spread with a limit order. So I am not sure it is going to help you really.
More...

All you can do is theorize what the spread might have been at a given time. That's tough luck.:(
 
Quote from optioncoach:

I also will consider rolling into an IRON FLY (a la riskarb if we get some real decay in the wings.
More...


Coach,

I paper traded the idea of selling an ATM straddle, later converting to an iron butterfly.........

1) 2/15/06 : Sold the Mar. 580 C/P XEO straddle for 13.10

(Because of high margin reqs., I added a far OTM strangle to reduce margin)

2) 2/15/06: Bought Mar. 605C/555P strangle for 2.0

Converted to iron butterfly:
3) 3/8/06: Bought Mar. 585C/575P strangle for 4.10

So, 13.10 - 2.0 = 11.10
11.10 - 4.10 = 7.0

Max loss on a 5 wide butterfly is 5.
So, 7.0 - 5.0 = 2.
I locked in a 2 profit, eliminating further risk and leaving the iron butterfly open to make an additional 5.............

Am I correct .....? Or, have I missed something.......?

skdoyle1 :
Thanks for the link. Content is very interesting.
I am paper trading an April/May XEO double diagonal
More...
 
Looks right to me unless my eyes are failing me ;)


Question I have is whether there was more profit in simply buying back the straddle since so much time had passed rather than the locked in profit plus potential for $5.00 more?


Quote from chrdso:

Coach,

I paper traded the idea of selling an ATM straddle, later converting to an iron butterfly.........

1) 2/15/06 : Sold the Mar. 580 C/P XEO straddle for 13.10

(Because of high margin reqs., I added a far OTM strangle to reduce margin)

2) 2/15/06: Bought Mar. 605C/555P strangle for 2.0

Converted to iron butterfly:
3) 3/8/06: Bought Mar. 585C/575P strangle for 4.10

So, 13.10 - 2.0 = 11.10
11.10 - 4.10 = 7.0

Max loss on a 5 wide butterfly is 5.
So, 7.0 - 5.0 = 2.
I locked in a 2 profit, eliminating further risk and leaving the iron butterfly open to make an additional 5.............

Am I correct .....? Or, have I missed something.......?
More...
 
Quote from optioncoach:

Looks right to me unless my eyes are failing me ;)


Question I have is whether there was more profit in simply buying back the straddle since so much time had passed rather than the locked in profit plus potential for $5.00 more?
More...

The straddle could be bought back for 8.30.

So, 11.10 - 8.30 = 2.8 profit (would be more without the original strangle purchase to reduce margin)

The conversion to iron butterfly locked in 2 with a potential for 5
 
You must log in or register to reply here.
Back
Top