I guess it was just a matter of time. Now the CME has it's own funky chicken. https://www.cmegroup.com/trading/equity-index/us-index/volq.html Thoughts? I like the idea. Pretty much same specs as CBOE's VIX as far as can be told this early. Performance Bond requirements not known yet though.
personality I don't find CBOE vix great for day trading. perhaps the professional writers and talkers have overhyped how useful it is. it might be ok for swing trading. there are many other volatility indices (eg eurex vstoxx mini index futures). not that great for day trading due to low volume.
It will be an interesting examination, as it will be an easily-accessible vola future through the CME, which would provide margin offsets against the NQ, far as I can tell.
I’d bet that it will be DOA - there is too much liquidity in VIX and it’s hard to push liquidity elsewhere. Of course, if and when it materializes, I’ll try to get involved.
Revisionists take note... February 2018, Volmaggedon. https://www.bloomberg.com/news/articles/2019-02-06/the-day-the-vix-doubled-tales-of-volmageddon
I remember some folks here saying the e-micro equity futures would fail also. Now they are pushing more volume than the e-minis. Hmmm.
It is quite common to see smaller size contracts having lower volume. that include futures like Hangseng dax Nikkei note that one dax contract requires 50k euro margin. ie there are lots of big players out there.
The smaller sized contracts are having higher volume in the example above. Except for YM, because I am long in the MYM.
Has anyone hedged their QQQ option volatility with this? Say you wanted only directional exposure with your options.