Can You Day Trade Futures Options

Can you day trade futures options

Day Trading E-mini S&P 500 Options on Futures using Weekly Expirations

Strangle example 2:

A customer comes into the day with $10,000 of starting day trading buying power and a short position of 50 XYZ March 40 calls ($2.30). XYZ closed at 38 the previous night. The requirement for this position is $49,000.

Trade 1 (9:15 a.m.): STO 50 XYZ March 35 puts $1.00.

Can you day trade futures options

Stock price remains 38.

This trade is paired against the short call position and the exchange requirement to place this trade is the premium of the puts or $5,000. The customer does not need to put up any additional funds as the $5,000 in proceeds are applied to the trade.

Trade 2 (11:45 a.m.): BTC 50 XYZ March 35 puts

The customer has day traded the puts.

Can you day trade futures options

The requirement for this trade is $32,500 and a day trade call in the amount of $22,500 will be issued to the customer.