I noticed, that the option prices below strike for call and above strike for put options always end with 5 or 0. I tried placing my order with a price of 0.01 above the bid, but I haven't seen it in the table. I expected the table to contain my order with my bid a volume 1. Are the orders aggregated by 0.05?



1 Answer 1


According to CBOE:

Premium Quotation Stated in decimals. One point equals \$100. Generally, minimum tick for options trading below \$3 is \$0.05 and for all other series, \$0.10. For classes participating in the Penny Pilot Program, the minimum tick for options trading below \$3 is \$0.01 and \$0.05 for options trading at \$3 or above.

Based on your screenshot, it seems it's part of the Penny Pilot Program and trades above \$3

  • 1
    $\begingroup$ The object of course of such rules is to allow the market-maker to earn a sufficient spread, at the detriment of the customer. Guess who it is that makes the rules. $\endgroup$
    – nbbo2
    Jun 23, 2023 at 17:36

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