An easy question for someone here...I was looking at the USO option chain yesterday with USO at 24. The bid for June 5 puts was something like this below. Why would that 4 strike price have an .01 bid when the ones above it are all 0? Is that just someone trying to close out their position? (I thought about selling some cash-secured puts to pick up the low risk dollar since USO is at 24). 4......... .01 5.........0.00 6.........0.00 8.........0.00 9.........0.00 8.........0.00 10....... .02 11....... .02 etc.
And what was the size on those bids? Zero as well? Then it simply means that there were no bids for those strikes.
OP with the stock at $26 today the June $5 put with its low IV wont pay you anything & even at $0.03 little if any on the bid/ask size & volume? https://www.barchart.com/etfs-funds/quotes/USO/options?expiration=2020-06-19-m&moneyness=allRows what instead an October expiry $5 put for 0.14, play time decay 'buy to close' when the option is at $0.07 - make $0.07 https://www.barchart.com/etfs-funds/quotes/USO/options?moneyness=allRows&expiration=2020-10-16-m