SPX Credit Spread Trader

Quote from scoobie27:




Therefore I have no choice but to leg in if I want to sell credit spreads on ES. Im sure this is not the case with SPX ?
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Do you use the latest build? they keep messing with the platform all the time. My ES options 1:1 spreads were going off just fine last month, havent tried any this month, but i wouldnt be surprised if they dont transmit.
 
Quote from rallymode:

Do you use the latest build? they keep messing with the platform all the time. My ES options 1:1 spreads were going off just fine last month, havent tried any this month, but i wouldnt be surprised if they dont transmit.
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Im using build 860.9 June 20 2006

Its basically the latest one cause I downloaded the platform around 5 days ago. I have put this problem on an enquiry ticket to them and they came back and said

"You will have to leg into this spread on your TWS because spread orders for these contracts are not supported on your TWS"

Slow service as well...sent some follow up questions and have not heard back yet. Not happy :mad:

And I couldn't even get an ES butterfly spread price (bid ask) on the quote panel, let alone buy or sell it. Give some similar message (not supported by exchange). Sent another enquiry ticket for this one too. Do you have this problem?

Thanks for any insight.
 
ES and SPX can be done as spread orders, it depends on your platform. My platform (X-Trader) does not do spreads but I prefer to leg in anyway since it is easier for me to shave off the bid or the ask individually then as a spread which needs both sides to be shaved at once ar you get no fill.

I do not leg into SPX because of margin requirements (if I wanted to sell the short first) and because I can place the order and am fine with letting it sit for a few hours if need be to get filled. It is not as easy to shave each leg so I might as well send the order and let the market makers work it if they are interested :)

Quote from scoobie27:

Rally, I understand now why you leg in. Thats because you can't sell ES credit spreads as a combo order. I tried to sell ES bull Puts yesterday on TWS. Managed to get the spread quote on the quote panel. But once I tried to "Transmit" /sell the spread as a combo order, i got a message saying "the contract is not supported by the exchange".


Therefore I have no choice but to leg in if I want to sell credit spreads on ES. Im sure this is not the case with SPX ?

Coach, do you find this to be the case as well? Do you have to leg in when you sell ES spreads?

scoobie
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I decide to put in an order today for an August bull call on the SPY to hedge my August SPX 1345/1360 bear calls.

I figured I'd put an order in to buy the 133/134 SPY bull call for August at $0.10.

The mid was $0.10 and the ask was $0.20.

The order was filled in one second at $0.10. That speed surprised me. I had considered trading the SPY several months back and came to the conclusion that, despite the higher commissions relative to the SPX, it could be profitable if one could get filled at the mid on the SPY and if the spread expired (i.e. there would only be commissions to get in). I may look at this again.

What experience have people had getting fills at the midpoint when trading the SPY?

Thanks.
 
Quote from optioncoach:

ES and SPX can be done as spread orders, it depends on your platform. My platform (X-Trader) does not do spreads but I prefer to leg in anyway since it is easier for me to shave off the bid or the ask individually then as a spread which needs both sides to be shaved at once ar you get no fill.

I do not leg into SPX because of margin requirements (if I wanted to sell the short first) and because I can place the order and am fine with letting it sit for a few hours if need be to get filled. It is not as easy to shave each leg so I might as well send the order and let the market makers work it if they are interested :)
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Thanks Coach,

So you're saying your X-Trader does not do spreads, but further down your post you said you put your SPX orders as a spread:confused:

Is that because you do your SPX orders on OX?

Mmm.. you leg into ES credit spreads as well...so does rallymode. I might try that too. Its just that im used working out the bid ask for the spread and placing the order a nickle or dime below mid from my Options Xpress days :)

Wont there be a risk of getting one leg filled and not the other if i try to leg in?

Thanks and sorry for all the questions.
 
Quote from rdemyan:

I decide to put in an order today for an August bull call on the SPY to hedge my August SPX 1345/1360 bear calls.
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Hi rydeman, do you still use OX or TWS as I noticed you just recently signed up with IB.

If you're using TWS do you also have any problems putting your spread orders as a combo?

Thanks
 
Yes SPX spreads are done in the OX account.

As for legging into ES spreads I do it quickly and try not to be unrealistic with how I am splitting the bid ask. I first choose one side where I want to be the most aggressive and go for it and ready my order for the other leg so I can place it once the first leg gets filled. In most cases the bid ask spreads are about 0.20 apart so I shave a nickle or dime where I can.

Quote from scoobie27:

Thanks Coach,

So you're saying your X-Trader does not do spreads, but further down your post you said you put your SPX orders as a spread:confused:

Is that because you do your SPX orders on OX?

Mmm.. you leg into ES credit spreads as well...so does rallymode. I might try that too. Its just that im used working out the bid ask for the spread and placing the order a nickle or dime below mid from my Options Xpress days :)

Wont there be a risk of getting one leg filled and not the other if i try to leg in?

Thanks and sorry for all the questions.
More...
 
I use ToS mostly. I have an OX account as well that I'm considering moving over to ToS. I did recently sign up with IB but have not fully completed the application and have not funded the account. I'm quite interested in your experiences and am disappointed to see that you're having these problems with IB. I too would prefer to trade the spread and not have to leg in.
I'm not sure if I'm going to complete the application before it expires (45 days after starting the application).


Quote from scoobie27:

Hi rydeman, do you still use OX or TWS as I noticed you just recently signed up with IB.

If you're using TWS do you also have any problems putting your spread orders as a combo?

Thanks
More...
 
Quote from optioncoach:

Yes SPX spreads are done in the OX account.

As for legging into ES spreads I do it quickly and try not to be unrealistic with how I am splitting the bid ask. I first choose one side where I want to be the most aggressive and go for it and ready my order for the other leg so I can place it once the first leg gets filled. In most cases the bid ask spreads are about 0.20 apart so I shave a nickle or dime where I can.
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SPX spreads in OX...i'll probably have to do the same. And good tip for ES legging in. I'll do the same..can afford to be aggresive one side and then easy on the other once the first side is filled.

That help, thanks coach.

Rydeman,

Yup I still am talking to the enquiries pple at IB but they're a little slow in responding because im using the ticket system and not the quicker chat system. Haven't tried to put an SPX order yet at IB. Will keep informed if that can be put as a combo order. Maybe put one through tonight if i don't go to sleep. Its past midnight :)

Will let you knwo what happens.
 
Quote from scoobie27:

SPX spreads in OX...i'll probably have to do the same. And good tip for ES legging in. I'll do the same..can afford to be aggresive one side and then easy on the other once the first side is filled.

That help, thanks coach.
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OX also allows futures trading. I believe they require a minimum of $25K account balance for futures trading. There is a link on the OX homepage.
http://www.optionsxpress.com
 
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