Whither UVXY options?

Discussion in 'Options' started by eleuthera, Jul 17, 2017.

  1. Joebone

    Joebone

    the old options only work for 25 / 100 shares now. You should do some serious research on this front before diving in. UVXY is a very strange product. Instead of splitting and giving everyone more shares it splits and cuts all positions prior to the split by 4. so if you had 100 shares short prior to the split you now only have 25 and that option only works for 25 shares. if you have an analyzer on your trading software take a look at it. the new ATM options will be worth 4 of the old ATM options. you will need to multiply the old strike by 4 to find its new strike..

    ^^^^^ I probably didn't explain this well and it's taken me a long time to know this product well so make sure you do your due diligence.
     
    #11     Jul 18, 2017
  2. Thanks much, sport.
     
    #12     Jul 18, 2017
  3. Joebone

    Joebone

    welcome, sport
     
    #13     Jul 18, 2017
  4. JSOP

    JSOP

    UVXY Option still not there at IB:

    UVXY_OptionStillNotThere.JPG
     
    #14     Jul 19, 2017
  5. JSOP

    JSOP

    UVXY had what's called a reverse split in that instead of splitting 1 share of the instrument into multiple shares, it kinda bought back multiple shares to 1 so as a result its share price is increased. I am just perplexed that the new UVXY option with the new strike price is not out yet and we still have to work with this "in-transition" UVXY1 option with the old strike price and with lower worth of the underlying and yet still with the multiple of 100.
     
    #15     Jul 19, 2017
  6. Joebone

    Joebone


    Usually takes a day or so for new options. Old ones will get very illiquid soon so i usually stop playing there.

    Cheers
     
    #16     Jul 19, 2017
  7. Robert Morse

    Robert Morse Sponsor

    The regular strikes for 100 shares were added at the exchanges yesterday.
     
    #17     Jul 19, 2017
    Joebone likes this.
  8. JSOP

    JSOP

    Still not there for IB. Maybe I am not doing something right? Anyone else with IB who's getting the new UVXY option?

    In the meantime, how many contracts of UVXY1 should I buy to cover for 1 share of UVXY underlying? 4X10 = 40? Thanks
     
    #18     Jul 19, 2017
  9. FSU

    FSU

    I just typed uvxy in IB and the new options came up
     
    #19     Jul 19, 2017
  10. Joebone

    Joebone


    4 old options = 100 shares
     
    #20     Jul 19, 2017