SPX Credit Spread Trader

[rallymode]

Quote from Cache Landing:



What ones do they offer?

they dont have the ones you want.

 

[Cache Landing]

Quote from rallymode:

they dont have the ones you want.

Which other ones do they have?

 

[rallymode]

Quote from Cache Landing:

Which other ones do they have?

why ask me, you are the one with a TOS account lol

 

[Cache Landing]

Quote from rallymode:

why ask me, you are the one with a TOS account lol

Touche

 

[yip1997]

Quote from optioncoach:

TOS has futures...

Coach,

With TOS having futures and haircut-like margin in April (I believe IB will provide haircut margin in April too), why will you need a proprietry account?

 

[jeffm]

They do have futures, but they do not have options on futures.

Last I heard from them, they were trying to get it done in the first half of 2007. No telling how the merger has impacted those plans.

Quote from optioncoach:

TOS has futures...

 

[El OchoCinco]

Mainly the e-minis... anything electronicaly traded such as YM, ES and ER2 as well as some others.

Quote from Cache Landing:

Touche

 

[El OchoCinco]

let's wait and see if ToS really does provide haircut just like a JBO....

ToS platform is nice for casual trading of futures but not for daytrading, they have a slighlt lag over something like X-Trader.

If my contract volume stays up like it is now I may just lease a seat from the CME and trade that way but that is still off in the future .

Quote from yip1997:

Coach,

With TOS having futures and haircut-like margin in April (I believe IB will provide haircut margin in April too), why will you need a proprietry account?

 

[RichardRimes]

Quote from yip1997:

I agree with you. I don't really understand the reasons behind the strong upward action this morning. There is no way for a rate cut, and soon the fear of rate hike will come back to the market. Can anyone explain today's market action?

I never use macro econ for trading options. Perhaps I can learn from some of you how to use the fundamental for predicting the market direction.

Yip I'm an old time fundamentalist basically on the SPX I do note the relative value's esp..PE. In early Dec I noticed that the value of the PE on the spx was 19...rather high historically. You look at other indicators such as price to cash flow etc for a few "fundamental" clues. Vix is important as it shows whether there is "fear" or "complacency" in the market. Good over-all judgment of the economy and the "why"s behind the economy. The SPX will move on many types of info so an a basic understanding of maco econ certainly doesn't hurt.

The problem with fundamental's and options is very simply... time. "Value" based stock pickers look long and hard at fundamentals both macro and equity specific, however they generally have a pretty long time frame perhaps between 6-18 months. They have no need of being right in a short time period.

As far as today, my best guess is not fundamental but this upcoming 3 day weekend into expiry week is causing the "market" to attempt to shake out the weak shorts. We will see what the market thinks of the macro econ situation after next week when earnings start coming in.

I don't know if any of this garbage is of any help but since I spent the time typing...hell I'll just submit

 

[RichardRimes]

With the new rules in April someone mentioned that the advantage of options on futures would go away perhaps increasing the liquidity in the SPX cash options. Anyone with a thought on this possibility?