Spreadbetting Options

Doc_P80

Newbie
8 1
Dear all,
I am new to the forum and being spreadbetting for over 2 years.

Recently I have been trading Options via an US account, but I would like to benefit of the SB UK policy.

I currently trade Index and Oil options using IG, but:

1- Cannot see anything more than the price. Do you know of any SB firm who offers a better platform to SB options, where also greeks are available?

2- Do you know any SB firm who offers also options SB on US shares (and not just Index/futures)? IG does it but only over the phone, which makes online trading almost impossible.

3- Do any of you guys SB on options at all?

Thanks
Stefano
 

tomorton

Legendary member
8,315 1,307
What would be the point of spread-betting on options on a share rather than spread-betting on the share itself?
 

kalott

Established member
736 82
you need to activate prorealtime

"Option chain window

* New option chain window available
* Search for an underlying instrument using the search bar, the select it to display related options
* You can choose an expiration date and filter by minimum and maximum strike price
* You can place orders by clicking in the ask or bid columns
* Performance charts can be opened by clicking on the icon-option icon"

https://www.prorealcode.com/topic/prorealtime-version-10-3-complete-list-features/
 

mpups

Experienced member
1,021 139
What would be the point of spread-betting on options on a share rather than spread-betting on the share itself?

its basically just trading options, just like spreadbetting is just trading (although different in ways which are discussed elsewhere!)

you need to activate prorealtime... Option chain window...]
thanks alot kalott i didnt know you have this on prorealtime/ig
 

tomorton

Legendary member
8,315 1,307
its basically just trading options, just like spreadbetting is just trading (although different in ways which are discussed elsewhere!)


Exactly. So if you want to trade via traded options, what's the advantage in spread-betting against the price of traded options? Why not just trade in traded options?
 

mpups

Experienced member
1,021 139
Exactly. So if you want to trade via traded options, what's the advantage in spread-betting against the price of traded options? Why not just trade in traded options?

i don't think there is an advantage its just convenient to use your SB account if that's where you generally trade. Have you seen the IG or city index SB platforms?
 
Last edited:

tomorton

Legendary member
8,315 1,307
i don't think there is an advantage its just convenient to use your SB account if that's where you generally trade. Have you seen the IG or city index SB platforms?


I have just started using an IG demo account but not at all familiar with it yet.
 

Doc_P80

Newbie
8 1
you need to activate prorealtime

"Option chain window

* New option chain window available
* Search for an underlying instrument using the search bar, the select it to display related options
* You can choose an expiration date and filter by minimum and maximum strike price
* You can place orders by clicking in the ask or bid columns
* Performance charts can be opened by clicking on the icon-option icon"

https://www.prorealcode.com/topic/prorealtime-version-10-3-complete-list-features/

Kalott Tahnk you for replying to me.

So, let me be clear. If I activate ProReal Trade, can I see ALL the available options, or just the one I usually see on IG platform (Indexes, Metals, Comodities)?
Im looking at a way to spreadbet on share's options online, without the need to call IG
 

Doc_P80

Newbie
8 1
Hi Doc
You said you just recently started trading options. You also mentioned the Greeks.
Firstly you need to google 'Greeks formula'. This will show all u need to know on Delta, Theta etc..
Many people in America use Ib brokers. They cover options too. But I think they demand minimum $10k to open account ( not sure)

Can you also answer the following questions:-

1. Do you wish to use options for hedging other positions/ commodities? Or for both hedging and for profits?
2. Do you wish to use options positions contracts for short term or long term? Ie a few days weeks or months.
3. There are many strategies in options. What strategy do you have in mind and why?
4. If you are not sure which strategy to use . Are you thinking of using just ONE leg or several legs in ONE position?

I will put up a link on Greeks for you later.

Larry

Larry thank you for taking the time to reply to me.
I am pretty familiar with options already (thanks for the links btw).
1. Manly for profits, sometimes for hedging
2. Mainly short term, sometimes long term
3. Strategy depends on market conditions, underlying, etc etc. I do not have a single one. And clearly not all are winning :(

Reason why I was asking about the greeks is that it is hard to pick up the right option to buy (or mainly to sell, which is what I do), without having those numbers.
IG doesnt show those on the Index options I am trading, so I was wondering whether there is an other spreadbetting broker that offers that.
Also I am interested in trading online options on US shares, which IG offers only over the phone (extremely unpractical)

S.
 

Doc_P80

Newbie
8 1
There's also no tax offset when you lose. This is the most likely outcome. So it's a false economy.

True and not true at the same time.
My account is +, so that means I have saved money so far.
I trade quite a lot, so it is also convenient to avoid fixed costs.

But when I started, I did not want to "fill" tax returns and/or let my employer know about this little side activity of mine. Still is a good reason to keep playing on a SB account only.
 
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tomorton

Legendary member
8,315 1,307
No Tax on the trade. Same reason why I spreadbet rather than Share dealing


Indeed, there is no CGT or Stamp Duty to pay on any SB. But that's a reason to use SB, not a reason to use SB to trade options. am I missing something?
 

mpups

Experienced member
1,021 139
Indeed, there is no CGT or Stamp Duty to pay on any SB. But that's a reason to use SB, not a reason to use SB to trade options. am I missing something?

ok look at it the other way round...

Say i have an IG SB account which i use to do my usual directional trades and I discover one day that there are options on the platform too.

I see I can buy a FTSE 7300 at the money Call (a few days ago) and i want to do that....Why would i do this elsewhere?
 
 
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