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Politics : Idea Of The Day

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To: IQBAL LATIF who wrote (12789)10/26/1997 5:09:00 PM
From: vegetarian  Read Replies (1) of 50167
 
Ike here is a naive question on index option trading.
I have traded options on stocks but not on Indices.
I have come across the following index options:
-OEX
-DJX
-SPX
-SPY
-SPZ
I can easily see what they represent, my question is:
-how does one decide which one should be traded (e.g. for risk reduction for long equity positions as now)? many times they tend to have similar charts.
-what are pros and cons of using one vs other; in terms of
premium, risk, liquidity etc
-any other advice that you might want to offer

Will appreciate your response or a pointer to a sight that might answer these questions; many thanks in advance.

best regards
M. carter
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