Volcube Starter Edition – latest updates
Starter Edition 2.20 : Released 23 February, 2014
* Now include outright options in your Custom Play simulations. In Custom Play switch Display Outrights? to YES. This will include the individual markets in calls and puts in your Pricing Sheet in the Main Game screen. Bids are shown to the left of your theoretical values and offers to the right. You can click-trade these option markets by single-clicking on a bid or offer which will tee-up the order in the Order Entry row at the foot of the Pricing Sheet. Make any changes you want to and then hit SUBMIT. Note that there are hidden robots in the market who may trade against you. So if there are some calls worth say $1.50 and the best bid is say $1.43 and you are prepared to sell at $1.45 (maybe because you feel you need to lighten up your position and you are prepared to sell at a loss on this occasion). If you submit an offer at $1.45, it is possible that a robot (drone) will buy your calls from you, even though the best bid is only $1.43. Also note that you might want to ‘work’ the order at $1.45 even if the robots don’t bite straight away. You can check your current working orders in the Working Orders tab which is to the right of the Messages tab on the far left of the screen.
* A new put-call parity minigame that includes interest rates. Practise the put-call parity formula with non-zero interest rates.
* Levels qualification criteria smoothed : Some tweaks responding to user feedback to smooth the transitions between Levels games.
Starter Edition 2.19 : Released 8th January, 2014
New Performance tab : now see your accuracy and competitiveness per quote
Using the new Performance tab
The new Performance tab details the player’s competitiveness and accuracy for every quote request in the game. This can be used to check your pricing at every point and understand what you did well and what not so well. The Volcube Competitiveness Metric determines whether the width of the bid-ask spread was sufficiently narrow. The Volcube Accuracy Metric determines whether the mid-point of the bid-ask spread was sufficiently near to the current market valuation of the option strategy in question.
In the Performance graphs shown below, the player needs to make his bid-ask spread narrower, as his competitiveness was inadequate throughout the game. His accuracy was generally good but deteriorated as the game wore on. This is quite common and usually means the player became more inaccurate because implied volatility was moving in the market away from his theoretical values. Quotes 21 and 23 were particularly bad in this game, so these would be worth reviewing in Replay mode.
The new Performance tab…
We hope this new feature helps you improve your Volcube scores and better understand options trading in Volcube.