CME - Why Smart Money Trades Spreads

Discussion in 'Trading' started by bone, May 14, 2020.

  1. bone

    bone

    Here is the BIG question: will AMP apply that margin at the instant you place that trade during the trading session, or on your daily statement? Those are two entirely different circumstances. The problem for my clients was that AMP (and other discount brokers) didn't have the risk systems of sufficient capability to correctly margin spreads in real time during the trading session.

     
    #61     Jun 9, 2020
    theledger and heispark like this.
  2. heispark

    heispark

    Considering the following feedback from AMP, I guess it's at the instant I place the trade......

    2020-06-09_23-05-38.png
     
    #62     Jun 9, 2020
  3. bone

    bone

    If I could make a suggestion; maybe reply that you require further clarification that the SPAN margin credit would be applied the instant the trade is made.

    Don't take that for granted. I speak from experience. :rolleyes:

     
    #63     Jun 9, 2020
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  4. heispark

    heispark

    By the way, /NG spread market is very liquid.... impressive..
    (NGN0-NGQ0 / NGN0 / NGQ0)

    2020-06-09_22-58-40.png 2020-06-09_22-59-30.png 2020-06-09_23-00-32.png
     
    #64     Jun 9, 2020
  5. bone

    bone

    Crude is also. The Butterflies a bit further out in the curve have some real opportunity. The prompt month calendar pairs are essentially delta directional with the flat price.
     
    #65     Jun 9, 2020
    heispark likes this.
  6. ironchef

    ironchef

    What is that?

    Thanks.
     
    #66     Jun 9, 2020
  7. bone

    bone

    #67     Jun 9, 2020
    heispark likes this.
  8. ironchef

    ironchef

    #68     Jun 9, 2020
  9. heispark

    heispark

     
    #69     Jun 18, 2020
  10. Overnight

    Overnight

    AMP does not support exchange-traded spread SPAN margins at this time.

    You are on the hook for every leg of your spread, at full exchange margin, 5 minutes before the market close. Once the market re-opens at 6 PM, you are back on daytrade margins. Sorry to burst your bubble.
     
    #70     Jun 19, 2020
    heispark likes this.