what the hell?? Whats up with liquidity?

Discussion in 'Options' started by James3313, Sep 25, 2008.

  1. xlf makes a .58% move and the NOV ATM options have no reflections whatsoever. The bid ask didn't even move...

    still bid @ 1.74 / ask 1.80

    Not to mention the spreads. A 6 point spread. That was unheard of before 9-22-08.

    What happened??
  2. Options market makers can't hedge themselves by shorting stocks. They can't make markets.
  3. I feel for ya... No action and wide spreads...
  4. will it ever be the way it was like before?

    Does GS and MS conversion have anything to do with this?

    Xlf is up 1.0% right now and I am up 4 points (bought @ 1.73, now bid @1.77 only)!!!

  5. :eek:
    Here is your Liquidity
  6. Volatility is through the roof on every stock option in the market. You need to pay attention to this son. When vols are this elevated, you trade the equities only, or sell vol. Buying vol right before this bailout is idiotic.
  7. god this is painful.

    This risk/reward ratio makes it not even worth it.


    Maybe I am just new at this but everyday for the last 8 months, I've never seen these options so inactive
  8. this ban is ridiculous.

    Welcome to the USSR of the 21st century, America.

    can't make a decent profit the legal way so when their stocks tumble they run to the government.

    god damn weasels.
  9. I am trading super small till these spreads come in. May be a while, you are getting screwed both ways. The only thing you can do is trade a higher time frame so if you usually trade a 60 minute timeframe you may have to move to a daily or use less contracts and go for a bigger swing.
    #10     Sep 25, 2008