Advantages of weekly vs monthly options ?

Discussion in 'Options' started by rfriend73, Mar 6, 2013.

  1. Eddiefl

    Eddiefl

    Grey Poupon,,, made in new jersey.,,lol,,

    This can be verified, no lie.

    EF

    :D
     
    #21     Mar 11, 2013
  2. Put sellers?
     
    #22     Mar 11, 2013
  3. Put buyers.
     
    #23     Mar 11, 2013
  4. xyannix

    xyannix

    #24     Mar 11, 2013
  5. Eddiefl

    Eddiefl


    Thanks Xyannix. I noticed there is a big difference in the premiums on spy and spx for similar strike levels.

    I am sure someone more experienced than me, can say why.

    EF
     
    #25     Mar 11, 2013
  6. Oh really? An example, please.
     
    #26     Mar 11, 2013
  7. Eddiefl

    Eddiefl


    Its not true??. I may be mistaken then, it seemed like there was more credit to be had on spx while i was looking at them. I could be mistaken

    i cant see now, data is off for IB option.

    EF
     
    #27     Mar 11, 2013
  8. No, it's not true. It's the most basic vol-arb. Citadel, Susq, Wolverine, GS and many others are involved in it.
     
    #28     Mar 11, 2013
  9. mothly options has more time to conside. thus most likely you will make money. very suitable for swing trading.

    weekly options change from this side to another side so quick. though higher return (%), but most likely you will lose. easily you find yourself in a wrong boat.

    to do monthly option make you relaxed. weekly options make you aging faster, you need watch it all the time. book profit fast, entry fast, cut loss and run fast. very suitable for day trading.
     
    #29     Mar 11, 2013
  10. newwurldmn

    newwurldmn

    Heh... you said "poop on."
     
    #30     Mar 11, 2013