Can a retail trader make money in options on futures?

Discussion in 'Options' started by andrasnm, Apr 22, 2006.

  1. Is anyone making money trading options on futures? If so please let me know what broker you use, IB? or others? What market you trade etc?
  2. dmcw

    dmcw Global Futures


    I'm not sure you're looking for a broker's input on this one, but you're free to discount it if you want.

    I don't think that IB offers the ability to trade open outcry options on futures. They probably would allow you to trade the electronic options such as the emini SP.

    We do give you access to the open outcry markets and options. I have seen some clients do well buying options, but of course the majority lose money. I do not give trading advice. Are you looking for recommendations or would you simply make your own picks? Feel free to call or email me here and I'll try to give you as much information as I can. Or I'll try to reply to your questions here on Elite.

  3. ids


    Dear dmcw,
    IB does offer floor options. It is quite sad that you are spreading misinformation here. We are trading tenth of thousands electronic futures options a day. I know multiple customers that are doing it for years. Obviously, they are successful. GLOBEX index options are the most liquid and popular product, especially S&P minis.
  4. no, I was not looking for Broker's plugs :) (not that I care)
    rather than traders who actually make money trading options (off the floor) on futures rather than just pissing money away buying premium....what futures markets do options traders trade lately etc. etc.

    So far only two brokers responded and that is quite telling...
  5. This is like asking...can a guy make money at the casino?
    Well, sometimes you walk out with a few bucks.
    One of the above brokers DID say most lose, so there's another answer.
  6. Gee thanks :) ...I was more curious of trading off the floor options for a profitable pastime not a vice like shooting craps on speed... I am sure with the right commission structure and the right strategy, software - it is possible to have positive expectancy and make money for the long haul. So how come ET is not swarming with such characters?
  7. Your question does not make sense. Can people make money trading options on futures? Of course they can. No different than asking if someone can make money on equity options or daytrading futures or trading stocks.

    Whether you can make money on a specific security all depends on your own skill, experience, etc.....

    No one said it would be easy and that everyone can do it so your question as to why ET is not swarming with successful ES option traders makes no sense.

    The question is not whether it can be done, but whether you yourself can do it and no one can answer that but yourself so trade away!
  8. Good luck finding all that 'right' stuff. You'll need it in that game.

  9. My mommy used to say there are no stupid questions only stupid answers..... :cool:
    As far as the other stuff, options are a marginal business due to the complexity and depth of the math and predicating the future volatility which has not happened yet. So yes I know software and strategy, experience and knowledge are the keys.
    So coach do you trade futures index options or some other markets too.
  10. Only index options and futures.

    I do not think you need to lock in a positive expectancy to be successful trading. You just have to make money :D. All the fancy math in the world will do nothing for you if you cannot trade and apply good risk and trade management skills. Option profits are not solely dependent on picking future volatility.

    As for ES options, I could do the same strategies I do with SPX on ES and I assume many people who are successful trading SPX or SPY options could translate those actions to ES options as well.

    As I said it depends on the person more than the security.
    #10     Apr 26, 2006