Big Move Monday?

Discussion in 'Options' started by FSU, Sep 27, 2013.

  1. FSU

    FSU

    Seems like there is a lot of fear of a big move on Monday. SPX is currently 1690 and the Quarterly SPX 1475 puts which expire on Monday are .05 bid. Haven't seen puts that far out bid with only a day to go in some time.

    The Straddle itself is trading about 13, but the bidding of these out of the money puts suggests some fear.
     
  2. Georgi90

    Georgi90

    most probably, but I don't know for sure ,... that is not customer bid... so its irrelevant what you say
     
  3. government shutdown.

    what a mess we will have? Dow down 2000points monday.

    get to be prepared to pick bottom.

     
  4. Tsing Tao

    Tsing Tao

    LOL! 2000 points, eh?
     
  5. FSU

    FSU

    I don't expect that either, but that's what it would take for these 1475 puts to be in the money on Monday. For those of you who think there is no chance of this happening, feel free to sell these puts for easy money.
     
  6. you are going to call a 2000 point drop in DOW and than bottom pick a move like that too? this is going to be totally based on the government shut down we already know about only?

     
  7. Yes, huuuuuuge gap up Monday.
     
  8. FSU

    FSU

    1450 puts now .05 bid, that's a 2400 dow drop Monday

    1775 calls trading .05 that's a 800 point dow rally Monday

    Sure is tempting to sell.
     
  9. FSU

    FSU

    #10     Sep 27, 2013