Multiple Options Trading Questions
Options to the Max
Somewhere in the Neighborhood
Acronyms cuz YOLO
Options Firsts and Market Trivia
600
Choose the most correct: As a buyer of puts during regular trading hours, this is likely the most important price to know:
A. The previous day’s closing price.
B. The option’s most recently traded price.
C. The option’s current ask price.
D. The option’s current bid price.
What is C, what is the ask price?
600
$10 Bull Put Spread, $3.50 credit
Provide maximum profit and loss/risk potential for these option strategies
What is Max profit =$3.50, Max risk = $6.50?
600
Provide the correct number or year within a specified range:
The single day record for contracts cleared. (+/- 1.5 million)
What is 41,535,580?
600
Provide the words that make the acronym:
SIFMU
Systemically Important Financial Market Utility
600
Prior to decimalization, options traded in fractions. The lowest fraction was a “teeny” or 1/16 of a dollar. This is the monetary value of 1/16.
What is $6.25?
700
ABC is at $40.00. From the choices below, the only option that is not in-the-money is…
A. ABC May 45 put
B. ABC May 35 call
C. ABC May 40 call
D. ABC May 55 put
What is C (the May 40 call)?
700
Long $25 put at $2.50
Provide maximum profit and loss/risk potential for these option strategies
What is Max profit = $22.50, Max Risk = $2.50?
700
A number that has been slowly climbing, as of September 2018 the number of equity & ETF issues that currently offer options. (+/- 400).
What is 4,372?
700
Provide the words that make the acronym:
TIMS
What is Theoretical Intermarket Margin System?
700
Fill in the blank: Cboe used a converted ____________ at the CBOT as its’ first “trading floor”.
What is a Smoking Lounge?
800
The impact on an option series’ open interest when a trader buys 10 call options to open a position, is the only trade of the day and no contracts exercised:
A. Increases by 10.
B. Decreases by 10.
C. No Change.
D. Depends on the position of the trader that sold the options.
“What is D”? Depends on the position of the person who sells the options.
800
Long binary $25 call at $0.45.
Provide maximum profit and loss/risk potential for these option strategies
What is Max profit = $0.55, Max Risk = $0.45?
800
The number of option contracts that traded on “Opening Day” at CBOE (+/- 125)
What is 911?
800
Provide the words that make the acronym:
LOPR aka “The Lopper”
What is Large Options Position Reporting
800
The name of the first US all-electronic options exchange.
What is the International Securities Exchange (or the ISE)?
900
A trader buys a binary $20 call/finish high option for $0.50. The following are true except:
A. At expiry, if the underlying closes at $21.00 the buyer will have doubled their money.
B. At expiry, if the underlying closes at $20.10 the buyer will have lost $0.40
C. Maximum Risk is $0.50
D. Profit potential is limited
What is “B”?
900
$5.00 Back Spread w/Calls (Buy 2 $80 calls, Sell 1 $75 call, for a $0.45 credit.
Provide maximum profit and loss/risk potential for these option strategies
What is Max Profit = Unlimited, Max Risk = $4.55?
900
What is 16?
900
Provide the words that make the acronym:
SOSA
What is Streamlined Options Series Adds
900
This is the number of consecutive years that OCC has cleared at least 3.5 billion contracts.
What is 11? (2008-2018)
1000
Provide 3 of the 5 OCC Values.
What is "1) Innovation & Agility, 2) Stewardship, 3) Collaboration, 4) Performance & Accountability, 5) Ethics & Integrity"
1000
$10 Front Spread w/Calls: Buy 1 $100 call, and Sell 2 $110 call for a $1.00 credit.
Provide maximum profit and loss/risk potential for these option strategies
What is a Max Profit = $11.00 and Max Risk = Unlimited?
1000
“Opening Day” for exchange traded options is April 26th, 1973. This is the number of US Presidents that have served since this date. (+/- 1)
What is 9?
1000
Provide the words that make the acronym:
LEAPS
What is Long-term Equity AnticiPation Securities?
1000
What is Boise Cascade (or ‘BCC’)?