I'm looking into options as an alternative trading/investing product from futures, and was wondering if someone can give a general idea on the index options market, eg. most liquid market, your personal favorite markets...etc.
So far from my research, I see that the SPY is perhaps the most traded product, based on the S&P500 ETF, and is physically settled. The SPX and XSP are cash settled much like the XJO options we've got, and on the Dow there is the DJX. Have I missed any, and which ones do you guys trade?
I've also looked at forex options, and the only thing available seems to be CME future options, however they don't seem to have much liquidity?
Anyways, I've only just started to look at options (long due) and would appreciate any comments.