CAD/CL Spread

Discussion in 'Commodity Futures' started by amsterdam, Jan 28, 2016.

  1. clacy

    clacy

    I would throw platinum in the mix as spreading well with CL and CAD
     
    #11     Jan 29, 2016
  2. A quick and dirty way is to look at the implied volatility the underlying's front month options are trading at today.
     
    #12     Jan 29, 2016
  3. bone

    bone

    Expect some cointegration risk, and expect your clearing firm to margin both sides of that trade as outright flat price risk. Just sayin'.
     
    #13     Jan 29, 2016
  4. bone

    bone

    CAD is about 10 percentage points higher correlation to CL than PL. Actually, Zinc and Lead have significantly higher correlations to CL than PL at present on-the-run.
     
    #14     Jan 29, 2016