ES Sept. options expire next friday(9/19) they trade on friday(9/19) or not?

Discussion in 'Options' started by increasenow, Sep 12, 2008.

  1. many ES long/short combos could you have active at any given time?
    #11     Sep 13, 2008
  2. jhucti


    BTW, how do you exit an option that is ITM but with wide bid/ask spread? Trade is thin at the ITM end.
    #12     Sep 13, 2008
  3. jhucti,

    You send in a limit order at the midpoint or a few cents off it and hope it is traded. Do this on Thursday afternoon with say a half hour to go. Remember that other retail traders will be also looking to buy and sell that contract (someone may have the other side of the spread in mind).
    If that fails to garner a fill in a few minuutes, then cancel and replace your order and take a few cents (usually about 0.10) off if you're selling.
    You can always exercise and sell, but there are some risks to doing that. It's usually wise to accept a few cents less and avoid those risks.
    #13     Sep 13, 2008
  4. jhucti


    Very helpful advice. Thanks a lot!
    #14     Sep 13, 2008
  5. what are some margin requirements you get per average credit spread...example: ES currently at 1240 and sell 1190 put and buy 1170 put.etc...
    #15     Sep 13, 2008
  6. #16     Sep 13, 2008
  7. #17     Sep 13, 2008
  8. Two ways--one, IB calculates fair vale of the option. So, I have pllced limit orders for the fair value, and they get executed. Also, if you place a limit order halfway between the bid/ask, it gets filled. Since I have used IB, the ITM options get closed out without a problem. Is it because of IB? I don't know.
    #18     Sep 14, 2008