The Traderszone Network

Published in TZ Latest News 11 July, 2017 by The TZ Newswire Staff

Pricing Puzzler

The July options for SPY doesn’t make sense to me.

242 – 243 strangle – 2.27

241-242 strangle – 2.43

Price of SPY – 241.8

Bought top strang yesterday – SPY at 242.5 – it lost money after a decent little move this morning. Why? It should be about 10% up, but it’s lost about that.

Options have higher volatility for calls, fyi.