This Week In Futures Options

Topics this week include: Crude Oil Metals/Gold Ags/Hogs         FUTURES OPTIONS FEEDBACK Question from Caesar L. - Why is palladium catching such a bid? Worth more than gold again? Question from Model X - Ask the Russell guy which of the Russell products puts up the most contracts? Also when’s the move/shift stuff coming? Question from Studio64 - Why don’t we see more flavors of equity volatility? There’s VIX and then there’s Eurostoxx and that’s pretty much it. There was talk of more on the horizon but nothing has come of it yet? I’d like more underlying indices other than S&P and more methodology than just the base VIX methodology (maybe some sort of skew product). Thoughts? Question from Brandon Elliot - Have any good rules of thumb when trading the term structure in seasonal products like corn? Maybe a point when the spreads are just too wide or narrow and need to be traded? What’s typical holding period for these trades? Longer than a month? Thx for answering.

FUTURES OPTIONS FEEDBACK Question from Franks - What’s the best entry futures option for newbies? I’m thinking something in the equities because most people are coming from stocks? I’d guess stuff like seasonal crop cycles would blow their minds. Question from Behr12 - What do you guys think? I don’t think crude vol can sustain for long at these levels. - RE: Oil: Are Options Signaling Long-Term Uncertainty? https://www.cmegroup.com/podcasts/off-the-charts-podcast-series/oil-are-options-signaling-long-term-uncertainty.html Question from J Swager - We stuck range bound in WTI for next few months between 48-55? Any signs in the vol that we might be heading for a move beyond in either direction? Question from Bob Engles - Do all the synthetics that hold for eq opts like long stock/short call = short put also hold for futures options? Question from Alcore - How far out can I go in eMini S&P or rut options? Does it make sense to do collars out to max expiration? Or maybe just a couple of years? Question from T

Topics this week include: FX Crude/WTI Equities Ags/Soybeans Metals/Gold       FUTURES OPTIONS FEEDBACK Question from Desinc81 - Are you buying that the FED is done for 2019 and maybe beyond? Question from C Sanders - What do the options traders think about this development? Re: article - Palladium is worth more than gold for the first time in over a decade. Question from Uncert1n - I’ve always heard the saying that when things get crazy correlation goes to 1. I know that holds for individual stocks and indices but does it also apply to commodities and other assets? Question from Andrew Testa - Love the TWIFO and wouldn’t mind more Ag reports. Trying to learn that marketplace for myself. I’m still in the phase of trying to figure out the difference between El Nino and La Nina and which is good for Ags. Thanks for all your great shows. Enjoying the new Crypto Rundown.

TWIFO 136: Your Burning Questions About Crude, Eurodollars, Equities and More In this episode Mark is joined by Sean and Nick to answer your questions about: Crude Oil Gold Equities Eurodollars Euro - USD Crypto and more...  

TWIFO 135: The Brexit Bounce Equities- Strong December for futures options at CME - Russell futures setting new records in December - Exploring how equity put writes fared during a tumultuous Q4 - Secret pockets of liquidity for equity futures FX - Weekly call skew annihilated in GBP/USD - Funky Risk Reversal trading in June this week AGS - Beans put skew getting bid up this week on strong volume Hogs - What is the hog skew predicting going forward? FUTURES OPTIONS FEEDBACK This week we field requests for call-in lines, #Hoglove, Beans and even a song.  

TWIFO 134: Breaking Equity Secrets HOST: MARK LONGO, OPTIONS INSIDER MEDIA GROUP CO-HOST: SEAN SMITH, MD - DERIVATIVES LICENSING, FTSE RUSSELL CO-HOST: NICK HOWARD, FOUNDER - BANTIX TECHNOLOGIES In this episode, Mark and Sean explore the latest trading developments in equity options as well as in crude oil, gold, soybeans, crypto and more. Our listeners also take their turns trying to get Sean to spill his equity product secrets.

Topics this week include: Crude Oil Equities Metals/Gold Crypto/Bitcoin   FUTURES OPTIONS FEEDBACK Question from Neail P. - Cattle futures are moving. What are the options telling us? Question from J Tomas - What do you think of soybean put skew here? Are they still biased toward the downside or has the concern mitigated? Any call love going forward? Comment from DRI - Thx for this show. Enjoying it very much. Question from Leo Radjovic - Does the stock substitution strategy work the same with futures options as stock options? Can I still do fig-leaf strategy? Any things to pay attention to between the two? Question from Joel - What secrets does the skew hold for WTI right now? Where is crude oil headed oh skew swamis?

2018 Year-in-Review: Ags/Soybeans Nat Gas Equities/Russell Metal/Gold Cyrpto Futures Options Feedback: Listener thoughts and musings Question from Jamal A. Lee - Thoughts on chance of BTC options listing in 2019? Question from Shasha3 - Biggest surprise of 2018? Any crazy expectations for next year? Question from Tarles - Concrete plans to bring back RVX in 2019? Seems like market makers would be interested in more volatility offerings these days? Question from C Tauck - Is this market whipsaw enough to make people rethink purely passive investing? Maybe they will consider an active allocation or perhaps even hedging themselves in 2019? Question from BBoy2 - What is the technical definition of a skew trade? Question from Burns - Is buying a call actually the best way to get long stock in this market?

Topics this week include: Rates Crude/WTI Equities/Russell Metals/Gold Futures Options Feedback: Listeners take over Comment from MailManDan5 - I'm a buyer at $2,250. Know that market all too well. If it wants to fiddle down there I'll play ball, else it's not a great time to get back into crypto. Hopefully too many people didn't waste their time in 2018 on what was clearly a 2017 boon. Little piece missing here. Gold is rising now that #BITCOIN is falling. Little switch up in store of value happening here. Any bigger investors that decided to take the crypto plunge still playing it like it's a stock - it goes down enough and then pull out and reinvest elsewhere Comment from Giorgio - Volatility in the Euro/USD futures options is making OTM puts very cheap. Time for a quick risk reversal? Comment from Austyn41 - Good shows today. The experienced and animated host makes it very entertaining and interesting to listen to.

Topics this week include: Soybeans Crude Oil Nat Gas Equities Metals/Gold Crypto/Bitcoin Winners: KC Wheat, Iron Ore, Palladium Losers: Nat Gas, Rough Rice, E-Mini Russell 2000 Futures Options Feedback: Listeners take over Question from JLN7 -Is it safe to write calls in nat gas again? Question from Mainev -Didn't quite catch the logic of the guest last show re: equities strangles. How would selling strangles help you rebalance your equities portfolio? Thx for this. Also enjoying Options Playbook. Question from Neal J. - Does put-call parity work the same for futures options as it does for equity options? Thank you for all your free content. Question from Brandon Elliot - Have any good rules of thumb when trading the term structure in seasonal products like corn? Question from Oytrate - What is a reason that someone would write ITM covered calls? Seems like a waste of time to me since you're capping all of your upside. Comment from Kelly Lef - Thought the user tip to exercise deep ITM calls to save on the

Today's special guest co-host is Russell Rhoads, Formerly Dr. VIX and current Head of Derivatives Research at the Tabb Group. Topics this week include: Crude Oil/WTI Nat Gas Equities Metals/Gold/Copper Ags/Soybeans Futures Options Feedback: Listeners take the reins Question from Elleneals - Given the skew setup in equities with calls being cheaper than puts from a vol perspective why would you ever buy a collar? Why doesn't everyone always sell the skew and use bullish risk reversals? The market seems to be set up for it.

Today's guests are Jeff White, Executive Director, Energy Products & Services at CME Group and John Seguin, Former CME Member and Head Futures Coach for Market Taker Mentoring. Topics this week include: Nat Gas WTI Crude CME OPEC Watch Tool Equities Crypto Futures Options Feedback: Listener questions and comments Comment from Georgio - We need some options on #CMEG BTC futures. Comment from Mark Brant - Nat Gas skew is still way to the calls but a risk reversal could be on the horizon! Question from ChevCR - Is there ever a time when equity call skew is higher than put skew?

Topics this week include: Energy/Crude Equities Metals/Gold Rates Ags Futures Options Feedback: Listeners take over Question from Mate7 - Good talk on ex. and settle on last show. I'm looking over the CME website option specs pages and I don't see many American style contracts. Why does CME use so many European contracts? Are they against early exercise?

Today's guests are Steve Stasys, Senior Director Agricultural Products, CME Group and Jared Caplan, Head of Commodities Trading, Akuna Capital. Topics this week include: Ags Soybeans Corn Hogs (#hoglove) Nat Gas WTI Futures Options Feedback: Listener questions and comments Question from NN76 - Found your show when searching for info on hog options. Like the #hoglove. Any tips for someone thinking about diving into these markets for the first time? I know they're pretty crazy.

A deep dive into metals: Gold Silver Aluminum Copper Plus, equities and crude Futures Options Feedback: Listeners take the reins. Comment from Romansray - Crypto is a myth. Question from Delman - Those Russell buy-write indices you discussed on the last show. What are the tickers? Can I trade them directly? Are there options listed? Question from Talerico - Does the use case for weekly options differ by product. So a crude weekly use differs from metals and from ags?

Today's CME hot seat guest is JB Mackenzie, Managing Director, Futures & Forex at TD Ameritrade Topics this week include: Equities Crude Metals/Gold Rates Futures Options Feedback: Listeners take the reins Question from Taylor N. - Do most FCMs offer the ability to go delta neutral easily on their platform? Or do you still have to go through the hassle and risk of legging? Question from Mystrio - Are we done? Is this beginning of the end of the bull?

Topics this week include: Equities (What is going on?) Crude/WTI Metals/Gold Futures Options Feedback: Listeners have their say Comment by DCVic - Hey Nick good call on puts and gold futures. Thx. Comment from Angel - Looks like bitcoin is the digital flight to quality after all. No selloff with equities. Question from Matteo - I'm selling monthly put options on the eMini. So I'm short options and short premium. But I'm collecting time decay. So does that mean I'm actually long theta? Help I'm confused. Also an update please on bitcoin options? Thank you so much.

Topics this week include: Energy/Crude Equities Metals/Gold Rates Ags Futures Options Feedback: Listeners take over Question from Mate7 - Good talk on ex. and settle on last show. I'm looking over the CME website option specs pages and I don't see many American style contracts. Why does CME use so many European contracts? Are they against early exercise?

Topics This Week Include: Crude Rates Equities Metals Ags Crypto Futures Options Feedback: Listener questions and comments Question from Cambel: Oh no! Did the millennials kill cheese? Are they coming for fluid milk next? Question from Inlo: Is it only possible to exercise a FOP that has the same month as the underlying future? If I’m long an April CL future do I also need an April put option? Or can I exercise a May CL option on a April CL future? Comment from Olivetrader2: I like the Thursday show, actually. I was supposed to be downtown but I couldn't go. Listening to your show instead. Question from Sam Harris: Question for TWIFO. Hello Nick, Mark and Sean. Fun program. I particularly like the research guests since they usually bring up topics that are new to me. I was talking with a friend recently about exercise and settlement (nerds, I know). He brought up an interesting time frame to exercise an option - when it goes ITM and the spread is simply too wide. Exercise may actually be the cheaper option

Topics this week include: FX Metals/Gold Crude/WTI Equities Crypto