ACE E-Mini S&P - August 05, 2019

Below is an illustration trading futures options on E-Mini S&P.  Our post shows bullish and bearish positions using a combination of call and put options.


Trade Options on Futures

E-Mini S&P * Directional & Neutral Positions

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Volatility

es vol

Notes:

Contract Size - $50 x S&P 500 Index.

Tick Size:  Outright: 0.25 index points=$12.50

Trading Hours: CME Globex: Sunday - Friday 6:00 p.m. - 5:00 p.m. Eastern Time (ET) with  trading halt 4:15 p.m. - 4:30 p.m.

* Tip: Understanding what the numbers mean when looking at E-Mini S&P prices. The quotation you see is U.S. dollars and cents per 0.25 tick. Each contract you are buying or selling is is index price x 50.  A 1 tick move is $12.50. Notional value of 2,432 = $121,600 USD.

?ml=1" class="modal_link" data-modal-class-name="no_title">* Tip: Click here to read a helpful tip about E-Mini S&P futures and options


E-Mini S&P

Below are charts for reference.  

es month

es weekly

es daily

* Tip: To view a larger chart image, simply right click on the image with your mouse. Next, select view image. Be sure to click the back arrow on your browser to go back to the original page.

?ml=1" class="modal_link" data-modal-class-name="no_title">* Tip: Click here on enlarging images


Strategies

Below is an example of a calendar put to the downside and reverse calendar to the upside. 

The calendar put has positive vega which benefits the position as price declines while the reverse calendar has the opposite (negative vega). As price goes higher with the latter, there is an additional benefit with decline in IV as prices move higher.

The % yield shown in the diagrams below represent an estimated return on margin from projected dates shown below.

Calendar

es put calendar

Broken Wing Butterfly

es bwb

Vertical Swap

es vswap

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