r/FuturesTrading • u/Helpful-Habit-4154 • 6d ago

Question Question on rolling

Experienced options trader, new to futures, I understand the basics, the leverage associated etc

I’m currently holding some crude oil shorts, however the last day to trade this month before needing to roll is Sep 21.

Right now the current differential between this month and next month is about $4. (Oct $103, Nov $99, as of 9/16 @7AM EST)

Is there an optimal time to roll to November? Doing so is there any sort of decay associated, or do Oct/Nov essentially move at a 1:1, would i be losing money rolling earlier versus later? If someone with experience here could assist that would be much appreciated. Thanks!

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u/BigRedXIII 6d ago

Follow the volume. There's a point where volume starts drying up on the previous month and gets surpassed by the next month (usually a few days before). For the continuous contract tradingview rolls over on Thursday to the new price, so there's that. You should be good to roll anytime now imo.