Thanks White17. Actually I'm not using options at the moment, I'm just doing the equities and things seem to work OK. I was thinking of branching out into options and only looked at the delayed stuff to "test the waters" to see how things would have worked. Where can I get access to cleaner data without paying too much?
Thanks White17. Actually I'm not using options at the moment, I'm just doing the equities and things seem to work OK. I was thinking of branching out into options and only looked at the delayed stuff to "test the waters" to see how things would have worked. Where can I get access to cleaner data without paying too much?
Personally, I do not know. I do not use a separate quote service. There are plenty of people on this site who would be happy to provide you with recommendations. Of that, I am sure.
I'm currently using IB and Preferred as a backup. If both quotes agree then I feel secure about the data. Used RealTick for years but IB is ok for the price and my style.
I have realtime option quotes and also used the delayed quotes from CBOE( larger file size, more mos.) CBOE quotes are accurate. A lot of time at the money options move very little because of the large amount of premium built into the option this far away from expiration. If you go one strike further, the option will move about .5 to .6 times the stock price.
Some posts are really funny... IF you know about options, bro... then why would you even think for a nanosecond that the puts you described would not have incereased in price? To me the sign that someone knows what they're doing or at least were well-trained is when they see an inexplicable situation and can find the answer on their own before relying on someone else. The point being: if you're going to get pissy when somone suggests you learn about options (as an earlier poster did) and u come back with an resentful retort "Come on man... I know what I'm doing!!" it's obvious you DON'T or you wouldn't be asking. D'accord?! And, the fact that you got amateur quotes and the ran straight to ET to post, is another sure sign. And further why didn't you give the sepcifics of the hypothetical position so you would get a reasonable answer. I'll give you a key to being a real good trader (something that I try to do)... don't ever think you know everything. Always accept others advice graciously even if you know more than they (or think you do). In fact the longer I trade the more I welcome any input. Even the less knowledgable or sophisticated. After all one must always bear in mind the basic rules, and concepts. That "humility' will serve you well in dealing with the markets... and respecting the fact that the markets always know more than you! Iceman
Stokhack: I'm assuming you mean "a large amount of TIME value built into the option". Do you mean go further OTM or ITM to get movement?
I don't see your point. Yes, I happen to have a PhD from an ivy league school and do know the option pricing specifics relatively well (it's not my primary area though). Understandably, when you ask a simple question like I did and someone takes you for some beginner moron and starts telling how how the dividend or the interest rate should be considered, you feel compelled to set the record straight. I do lack the practical knowledge though and I'm more than happy to admit it. The reason I had "ameteur quotes" is b/c I wasn't sure it was worth looking into more. Of course, I could have gotten "professional" quotes first. But getting advice from those who trade options seemed to be a faster and more efficient route. Humility? I am pretty humble, I think. I do several million $ volume in equities each day (generally for a nice profit) but look at the handle I picked.
Anyway, I came here not to argue but to clarify something that seemed odd. I think I did. Thanks a bunch guys for your input and don't flame me if I didn't seem humble enough