Hi,
I would like to find how the price of NADEX binaries (in a spread) moves with each tick movement of US 500 Futures.
Thanks.
Subodh Shourie
Yes I would like to know this also, but for Binaries. How do you determine when Price on Ninjatrader has hit “STRIKE PRICE” of a Binary. if it hits 1630.25 on Ninja, but your Binary was 1630.6, when is it exactly at strike price for it to be equal to $50.
For binaries price movement use the binary scanner. use the simulation price feature and enter the price. It will tell you what the binaries price will be if it moves to that price quickly. Time and implied volatility are also factors. The simulation price will udpate as time or IV changes. The three prices you can count are on 0 or 100 at expiraiton and 50 when the underlying market hits the strike. Give or take a few bucks for bid/ask spread. I don’t go for “exactly” 50 i usually exit at 43 if buying say at 20 or at 57 if selling at say 90. I give a few ticks in case it does not hit my exact price and a few ticks for bid/ask spread. But use the simulator for binary price movement on a short term movement fast movement basis.
For spread price movement they move based on the underlying.
If they are OTM they will move slowly till they get itm (ie until the underlying) price reaches the price you bought/sold the spread at)…
If they are DITM they will just have previum and will m ove slowly till until the underlying) price reaches the price you bought/sold the spread at)…
They move fastest in the middle 70-80% of the spread they move slower when the underlying is close to the edge.
Watch education nadex spreads to see how prices change
If you have more specific questions let me know.
