In my head, back months are usually 8-10 months away from the front month in Brent. Although I'm sure others have a different definition. The trading personality of the spreads changes the further you move down the curve (in time).
Maybe something along the lines of a Dec17-Mar18-Jun18 Fly or a Sep18-Oct18-Nov18-Dec18 Condor are good examples of spread combinations a bit farther out in the curve. "back months" if you will. You can really get BACK in the the Eurodollars !
BTW, I have clients making very good livings trading "further back" in the energy curve than I've suggested above. Just 'sayin. It's certainly the road less traveled and the OI is almost all Commercial.
Ya... I'll check when I get home...back when I put the xzf17 fly on when I started the thread anything past that was exponentially more... I'll check tonight...
That's not true. All things being equal ( duration between intracommodity legs) STIRS are the only intracommodity spread that I am aware of where the months farther out on the curve margin more than the prompt months. The exchange has an algorithm it's used for years to determine fair settlement value for less liquid expiries.
That has to be a bad number. That spread doesn't even move. How can the margin be that high? Is it because you have jan 19 vs jan 18?