Rolled and Raped

Discussion in 'Options' started by RichardRimes, Jan 19, 2008.

  1. I have experienced the Joy of Sex with the SPX however haven't experienced it as much with equities in the past.

    This month I had the pleasure of trading both MA and CME. I noticed when I put the order in on both I saw that it was "routed" on both MA and CME all my fills were between mid and natural so I began to wonder if their options are handled by specialists with the same very wide bid/ask spreads experienced with the SPX.

    I had been trying to roll a CME call at mid for several days without a fill and by Friday had to offer almost $1 more than the mid and even that almost didn't get done. Once filled, my mark to market was down $1K immediately. Thank you so much...that felt so good:(

    The point made often is you should trade liquid and electronic products so I wonder are there still options out there perhaps like CME and MA that are NOT electronic and can you find a list of them somewhere so you at least know in advance you MAY get screwed if you need to get out or adjust.
     
  2. Poster: would you please take the extra time to write-out the abbreviations in your post SPX MA CME. Think I know your meanings but not sure
     
  3. www.google.com

    Sheesh...
     
  4. in case he doesn't have access to google :)

    SPX are the options on the S&P 500 that trade in the CBOE pit (at least the spreads do...single options are electronic)

    MA =Mastercard
    CME=CME ? the Chicago Merc

    anyway I checked back today and the rape charge was $250 and not $1000 so I guess the sex wasn't that good:D

    edit..come to think of it the $1000 "slippage" charge WAS correct..the stock moved up like 13 pts by the end of the day so basically the position gained..sigh
     
  5. :D