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Term Structure
Volatility
Options fall into the category of being slightly undervalued in non-volatile markets in the weekly options report. Ask about the Weekly Option's Report for more information or watch our video.
Notes:
Contract Size - 1,000 barrels.
Tick Size: Outright: dollars and cents with 0.01 points=$10
Trading Hours: CME Globex: Sunday - Friday 6:00 p.m. - 5:00 p.m. Eastern Time (CST).
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Charts
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Strategies
Below is the starting position for a calendarized broken wing iron condor. If prices move too high, the position could be adjusted by purchasing a call spread to lessen delta.
The % yield shown in the diagrams below represent an estimated return on margin from projected dates shown below. The structure has positive time decay which is an advantage over holding outright options.
Alternatively, below is a standard broken wing iron condor. Same applies as above where the position would need to be adjusted if prices moved too high.
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