straddles on news?

J

jjk2

i know such thing was very difficult, altho not impossible on major news on spot currency,

i wonder if futures, such news straddles are viable ? there should be abundant amount of liquidity and minimal slippage right ?

also, where can you find a list of the volatility expected from news release. sometimes, a news release would be rated high volatility expected, but instead it just makes the prices zig zag, and go no where. why does this happen ?
 
Quote from jjk2:

i know such thing was very difficult, altho not impossible on major news on spot currency,

i wonder if futures, such news straddles are viable ? there should be abundant amount of liquidity and minimal slippage right ?

also, where can you find a list of the volatility expected from news release. sometimes, a news release would be rated high volatility expected, but instead it just makes the prices zig zag, and go no where. why does this happen ?
More...

I think "price zig zags" are to take stops out.
 
Some of the "choppiness" is gamma-scalpers whose trading tends to stabilize the market and traders who are getting out of directional options trades before the implied volatility levels collapse too far.
 
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