The options market seems untradeable now

taowave · Mar 23, 2020

Im having no problem getting fills,and the relatively small bid offer given up is more than made up for on theoretical edge..

Bekim said:
The spreads are beyond disgusting, I thought for a second they were improving but today was worse than ever.

FSU · Mar 23, 2020

Sig said:
To the OP, first off, wide spreads don't mean you can't trade near the mid if you put in a limit order. Have you actually tried trading these or are you just looking at your screen?

Second, if the bid/ask spreads are unreasonable you can make a mint acting as a market maker. If you're not willing to do that, then you're implicitly admitting that the spreads aren't unreasonable. Can't have it both ways.

Exactly!

A 5 dollar quoted spread doesn't mean the real spread is 5 wide. It means the MM's don't want to leave tight quotes up and get picked off in a rapidly moving market. The "real" market is much tighter. Try 1 lots in between the quoted markets to determine the real market.

I was trading a leap put in Google today. The quoted market was 6 wide, while the actual market was only about .40 wide.

Bekim · Mar 23, 2020

go back to reddit[/QUOTE]

taowave said:
Im having no problem getting fills,and the relatively small bid offer given up is more than made up for on theoretical edge..

For spy they are not bad, try trading equites like JPM or JNJ names that are normally liquid are not anymore.

NewTraderAdventure · Mar 23, 2020

taowave said:
You are clueless when it comes to options

Im sure you're right
post one real life example, or , with all due respect, stfu

NewTraderAdventure · Mar 23, 2020

taowave said:
Im having no problem getting fills,and the relatively small bid offer given up is more than made up for on theoretical edge..

doubt you'd know edge if it bit you on the tao

taowave · Mar 23, 2020

Im trading TSLA,Spy and AAPL.
I noticed TSLA has gotten much tougher and the edge has vanished.

SPY is no problem at all,but it takes several creative ways to get filled..

Same with AAPL..

Regardless,the edge far outweighs the seemingly wide spreads in the stocks/indices I am trading

Bekim said:
go back to reddit

For spy they are not bad, try trading equites like JPM or JNJ names that are normally liquid are not anymore.[/QUOTE]

NewTraderAdventure said:
Im sure you're right
post one real life example, or , with all due respect, stfu

NewTraderAdventure · Mar 23, 2020

what edge???? lol, I can fly, I just flew in from Istanbul and boy are my arms tired

again, post a single real example of what you call edge, or go away

taowave · Mar 23, 2020

Here you go moron. Last week,TSLA 600 -790 1x3 call spread traded for a .50 cent credit.
On the bounce,the next day it traded for a 3.80 credit.And you didnt have to leg the trade.

Look at the skew in AAPL and SPY and get back to me.

Believe me or not,IDGAF...

NewTraderAdventure said:
Im sure you're right
post one real life example, or , with all due respect, stfu

ironchef · Mar 23, 2020

taowave said:
Im having no problem getting fills,and the relatively small bid offer given up is more than made up for on theoretical edge..

I added to my long calls today. Not easy, I had to go longer expiration, they are thinly traded ended up I offered near ask to get my fill.

taowave · Mar 23, 2020

Chef,why take down this level of vol as opposed to buying the underlying??