Market takers on futures options

Discussion in 'Options' started by TraDaToR, Mar 11, 2010.

  1. TraDaToR


    Hello option traders,

    Is there some market takers actually making money in options on futures? Spreads are too large, even on ES, ZN, GE ... options. An anomaly has to be really large to be exploitable.


    PS: I 'm talkiing electronic.
  2. Just place your order in the middle of bid/ask. You may need to move it a tick up or down after a few minutes. I also have access to live Block-Scholes option pricing, so I check that as well. I haven't had to hit the bid/ask in years ( I trade ES futures options). Also, remember, option prices above 5 have ticks of .25; option prices below five have a tick of .05.
  3. TraDaToR



    Are there people here who only remove sizes( whatever the strategy is )?
  4. Yep. For hedging purposes.

    Mind you I only use the ATM strikes where the liquidity is nearly reasonable.