Hi all, I've been trying to figure out why the QQQQ options are so popular? Is it because they're inexpensive (monetarily) and reallllly liquid? Or is it because of something else? I read somewhere online about it being "statistically predictable" but I have no idea what they mean by that. Just curious. Thanks!
They're a hedge to a myriad of products and strategies. They spreads are razor thin there was a time when a lot of arb stuff was traded since they are a perfect ratio hedge for a number of other products too.
I would say that in the past 6 months the DOW has been more volatile than the Nasdaq. If you are interested in options on the QQQQ's I would also look into DIA options, I think you will find them better.