Posted by DigiNomad on 21st of Dec 2023 at 10:49 pm
I just got filled on a few hundred very short dated SPX calls
that are just slightly out of the money (not zero DTE but expiring
next week).
Until the market actually responds to the data instead of the
predetermined narrative that it's been marching to, I'm going to
hedge away most of my risk on these data releases...not to mention
it's Gov data and we're going into a hotly contested election year
(they might pull another fast one like they did recently telling us
that insurance costs dropping a lot contributed to the decline in
CPI...yeah, ok).
Anyway, I'll sleep a lot better tonight knowing that if the
market sees the PCE report tomorrow and goes wild, I'll be ringing
the register...the more wild it goes the better. Otherwise, I'm
perfectly willing to let the hedge drop to zero...it was
surprisingly inexpensive and it was also easy to get filled (I
literally just put in the order and it's 10:45 PM EST. The
market jumped like a scalded dog as soon as I got filled....which
doesn't suck either.
Posted by DigiNomad on 22nd of Dec 2023 at 08:42 am
The calculator that tells you what kind of P&L to expect for
a given options underlying move is completely wrong on IBKR....but
it's wrong if a good way (for long calls). I'm alreadys up 80% on
calls purchased last night. The calc said that would take nearly a
1% move.
I find /ES futures options to be more liquid. Especially after
hours. 1.00 b/a which immediately becomes .50 once you place your
order. But you can actually get filled mid-market. I’ve always been
a commodity and futures guys so maybe I’m biased but I really
prefer /ES mini to any of the SP products. Same 1256 60/40
tax treatment as the bigs and never a “Daytrading rule”.
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I just got filled on
Posted by DigiNomad on 21st of Dec 2023 at 10:49 pm
I just got filled on a few hundred very short dated SPX calls that are just slightly out of the money (not zero DTE but expiring next week).
Until the market actually responds to the data instead of the predetermined narrative that it's been marching to, I'm going to hedge away most of my risk on these data releases...not to mention it's Gov data and we're going into a hotly contested election year (they might pull another fast one like they did recently telling us that insurance costs dropping a lot contributed to the decline in CPI...yeah, ok).
Anyway, I'll sleep a lot better tonight knowing that if the market sees the PCE report tomorrow and goes wild, I'll be ringing the register...the more wild it goes the better. Otherwise, I'm perfectly willing to let the hedge drop to zero...it was surprisingly inexpensive and it was also easy to get filled (I literally just put in the order and it's 10:45 PM EST. The market jumped like a scalded dog as soon as I got filled....which doesn't suck either.
The calculator that tells you
Posted by DigiNomad on 22nd of Dec 2023 at 08:42 am
The calculator that tells you what kind of P&L to expect for a given options underlying move is completely wrong on IBKR....but it's wrong if a good way (for long calls). I'm alreadys up 80% on calls purchased last night. The calc said that would take nearly a 1% move.
How/where do you buy options
Posted by DK on 22nd of Dec 2023 at 01:29 am
How/where do you buy options after hours?
SPX trades 23 hours per
Posted by DigiNomad on 22nd of Dec 2023 at 08:31 am
SPX trades 23 hours per day / 5 days a week. I primarily use Interactive Brokers.
*I haven't been able to use spreads after hours, but no problem with single orders.
I find /ES futures options
Posted by pep8261 on 22nd of Dec 2023 at 09:26 am
I find /ES futures options to be more liquid. Especially after hours. 1.00 b/a which immediately becomes .50 once you place your order. But you can actually get filled mid-market. I’ve always been a commodity and futures guys so maybe I’m biased but I really prefer /ES mini to any of the SP products. Same 1256 60/40 tax treatment as the bigs and never a “Daytrading rule”.