Any reason for 17? (that one has a theta of .04)
based on my expectations, and the premiums among the other option chain offerings, i saw that as the cheapest.
Honestly, i dont think the greeks pertain to the vix, do you?
I don’t know… Im new to VIX options. I know they are a bear of a product and perhaps the greeks are to sensitive to be significant when it come to pricing and decay expectations. I know pricing is based on futures… but what happens at expiration? Is ATM based on the VIX or VIX futures at that point? What strike is worthless at expiration? If it is based on the VIX at expiration, is there a slow transition in the pricing leading up to expiration going form being based on futures to being priced on spot?
EDIT… I need to go over this page
http://www.cboe.com/micro/vix/vixoptions.aspx
I’ll post here when I learn about the details I was worried about.
One thing I have noticed already is that a couple hours ago all the ITM Calls had .00 for theta. Now I am looking at them and they all read .03. You may be right. The greeks may be BS when it comes to these options.
^yah they def are. ISM figures aren’t going to help my case.
pretty good pop today
^^ well done guys!
Yeah, woke up to a nice little chunk of $$$. Now we see the sobering up after the party “oh wait Brexit isn’t over yet, in fact it hasn’t even begun, maybe we shouldn’t be at all time highs?!”.
im still paper profit. The italian banking crisis should cause some uncertainty imo. purealpha, what was your play again?
^ Short calls – I get paid $3K, and if the S&P is over 2110 on Oct31, then I have to take a $100K short (which I would like to take anyhow). Also sold some Jul29 calls. Been doing this for awhile now, usually end up closing them out early, would like to see S&P head down near 2000, and then walk away.
these must be calls on SPY, yes?
I do “ES” futures, if you get assigned you take delivery of the next quarterly future. I don’t really like cash settlement.
SPX is cash settled. I figure with a short call on SPY you would get assigned short the ETF shares. I may be wrong. How are options on liquid futures such as ES GC CL? Bid ask spread look ok, but not great. Would you rather just deal with futures?
^ Oh, you were talking about the SPY ETF, not SPX, I misread.
I decided to pick one instrument type, and get familiar with how that works (too many different methods to do the same thing). Decided on futures, and options on futures. They are super liquid. They trade around the clock, so if I’m seeing something happen during China market hours, I can open/close a bet on how I think the US will react. I can short without having to worry about the dividend dates. The price means something which is nice, as opposed to an ETF price which doesn’t tell me anything. Options settle to futures. ES, VIX, CL, GC, ZN are always on my screen.
^^Thanks, PA. I appreciate that you answer my questions. In fact I appreciate all of your input on AF. While I’m at it, I want to applogize for making a joke at your expense in the comprehension thread. It was tacky and I regret it. I’m deleting it 
^^Actually, nevermind… I just noticed we can’t edit ourselves anymore. This should be interesting…
No prob. Wow, no more edit feature! Now we can’t rewrite our stock calls after the fact. 
keep it in your pnats
…there, I fixed it for you… because you can’t 
^ HAHA!