SPX Credit Spread Trader

Discussion in 'Journals' started by El OchoCinco, May 17, 2005.

  1. For haircut margin, the maintenance margin will change with the index level. Is it MTM? So we still need to have a cushion for the margin change.
     
    #8971     Jul 27, 2006
  2. I am still using ameritrade as my option broker. I found many people use TOS or IB here. Can anyone tell me the difference?

    Currently I am looking to have streaming option quotes (Level II), and streaming greeks, and want to have a DDE link to excel.

    If I can get a historial IV for individual stocks, that will be great.
     
    #8972     Jul 27, 2006
  3. Tradestation is a good all around broker for futures and charting combined.


    Thinkorswim now has great charts along with futures trading and I think you can trade off the charts now as well.


     
    #8973     Jul 27, 2006
  4. Maverick74

    Maverick74

    Haircuts are obtained by being a member of a JBO (joint back office). You can either start your own JBO or join one. It's pretty cost intensive to start and maintain your own JBO so the better route is to join one. Some prop firms have JBO status, some do not. If you join a prop firm that has a JBO setup, you need to become a member of both that JBO and the exchange in which they are affiliated with.
     
    #8974     Jul 27, 2006
  5. Maverick74

    Maverick74

    I run the Chicago office for a prop firm based out of SF. There is quite a bit of info on ET if you do a search for haircuts and prop firms. You can also google it.
     
    #8975     Jul 27, 2006
  6. Mav talks a lot about Joint Back Offices. Unfortunatley I found out he mainly smokes joints in the back office :D.

    Sorry Mav, too easy to pass up..


     
    #8976     Jul 27, 2006
  7. Maverick74

    Maverick74

    Haircuts are calculated daily. So yes, like span, they change as the underlying moves up and down and as times goes by. The problem with span is that the margin levels themselves can change and quite dramatically around volatile events or volatile markets. They can double or triple overnight. So if you use span too aggressively, you could be in a situation where you have no control over your position.
     
    #8977     Jul 27, 2006
  8. Maverick74

    Maverick74

    You are on a roll. Do I need to pay a cover?:D
     
    #8978     Jul 27, 2006
  9. Point taken, thanks :)
     
    #8979     Jul 27, 2006
  10. rsflint

    rsflint

    Cache & Richard, thanks for your responses/inputs. Hopefully the no 25 bp crank is built in and the SPX won't go too crazy after 8/8.
     
    #8980     Jul 27, 2006