Option strategy cheat sheet and best software - Options on Futures | futures io social day trading
futures io futures trading


Option strategy cheat sheet and best software
Updated: Views / Replies:7,858 / 28
Created: by leinster Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Reply
 
Thread Tools Search this Thread
 

Option strategy cheat sheet and best software

  #1 (permalink)
Elite Member
Brussels / Dublin
 
Futures Experience: Intermediate
Platform: ninjatrader
Favorite Futures: Stdev + 2
 
Posts: 467 since Jun 2010
Thanks: 842 given, 592 received

Option strategy cheat sheet and best software

Hi,

Anyone have a decent reference cheat sheet for option pricing and which strategy is best to deploy depending on circumstances volatility etc.

Any resources greatly appreciated as some information I find on the internet is factually incorrect. Quite interested in spreads of all types and ratio spreading I know optionvue has some decent info but is it the best software put there for modeelling.

Reply With Quote
 
  #2 (permalink)
Quick Summary
Quick Summary Post

Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

 
  #3 (permalink)
Banned: Rude behavior, doesn't want to be here
Zug / Switzerland
 
Futures Experience: Advanced
Platform: Different
Favorite Futures: Option and Futures
 
Stan Dan's Avatar
 
Posts: 67 since Sep 2013
Thanks: 64 given, 35 received



leinster View Post
Hi,

Anyone have a decent reference cheat sheet for option pricing and which strategy is best to deploy depending on circumstances volatility etc.

Any resources greatly appreciated as some information I find on the internet is factually incorrect. Quite interested in spreads of all types and ratio spreading I know optionvue has some decent info but is it the best software put there for modeelling.

@leinster

Would you be so kind to post the the links to the incorrect informations you found in the net?

We then could have a look at it and move on according to the points which are, by what you seem to know as incorrect, and post some other links.

Regards Stan Dan

Reply With Quote
 
  #4 (permalink)
Site Administrator
Manta, Ecuador
 
Futures Experience: Advanced
Platform: My own custom solution
Favorite Futures: E-mini ES S&P 500
 
Big Mike's Avatar
 
Posts: 46,238 since Jun 2009
Thanks: 29,350 given, 83,218 received


leinster View Post
Hi,

Anyone have a decent reference cheat sheet for option pricing and which strategy is best to deploy depending on circumstances volatility etc.

https://futures.io/options-cfd-trading/29125-pc-span.html

Mike

Due to time constraints, please do not PM me if your question can be resolved or answered on the forum.

Need help?
1) Stop changing things. No new indicators, charts, or methods. Be consistent with what is in front of you first.
2) Start a journal and post to it daily with the trades you made to show your strengths and weaknesses.
3) Set goals for yourself to reach daily. Make them about how you trade, not how much money you make.
4) Accept responsibility for your actions. Stop looking elsewhere to explain away poor performance.
5) Where to start as a trader? Watch this webinar and read this thread for hundreds of questions and answers.
6)
Help using the forum? Watch this video to learn general tips on using the site.

If you want
to support our community, become an Elite Member.

Reply With Quote
The following user says Thank You to Big Mike for this post:
 
  #5 (permalink)
Elite Member
Brussels / Dublin
 
Futures Experience: Intermediate
Platform: ninjatrader
Favorite Futures: Stdev + 2
 
Posts: 467 since Jun 2010
Thanks: 842 given, 592 received

Say for instance I am looking for the best strategy when IV is high yet I want to take a directional play in that I believe price is moving down. I would like to be able to profile the different strategies too see the best one from a risk return perspective . generally a bear call spread is better than a bear put spread but I wondering if anyone has modelling software recommendations for this or recommendations ?

Reply With Quote
The following user says Thank You to leinster for this post:
 
  #6 (permalink)
Banned: Rude behavior, doesn't want to be here
Zug / Switzerland
 
Futures Experience: Advanced
Platform: Different
Favorite Futures: Option and Futures
 
Stan Dan's Avatar
 
Posts: 67 since Sep 2013
Thanks: 64 given, 35 received


leinster View Post
Say for instance I am looking for the best strategy when IV is high yet I want to take a directional play in that I believe price is moving down. I would like to be able to profile the different strategies too see the best one from a risk return perspective . generally a bear call spread is better than a bear put spread but I wondering if anyone has modelling software recommendations for this or recommendations ?

Do I get this right: You are asking for a software with which you can model an idea before you implement the strategyy in the market?

Let's say you have an Iron Condor in your head, as the chart shows in your time frame a side way market. Now you want to test how and when you want for example leg in with the call credit spread after you have implemented the put credit spread.

OpVue7 is an excellent tool to test such ideas and offers a lot in that direction. You even can test different kind of synthetic strategies with futures and options. The use of the matrix is a bit complicated and not all tricks are described in the manual when it comes to the point of testing any ideas. Ask for help about this in case you buy the software.

If OpVue7 is of no need for you, you may have a look at the following link which offers some basic tools to model some ideas: Custom Option Strategies

And if this is also of no use, then try to do it with an Excel sheet. You would have to Google for this or there is may some body here in the forum who knows how to develop such an Excel sheet. Here and idea how such a sheet can look: http://i58.tinypic.com/idacqq.png As I did not program it as it was a present from an option pro for me, I have no idea how it is done.

Hope it helps and have a nice day / Stan Dan

Reply With Quote
The following 2 users say Thank You to Stan Dan for this post:
 
  #7 (permalink)
Elite Member
Brussels / Dublin
 
Futures Experience: Intermediate
Platform: ninjatrader
Favorite Futures: Stdev + 2
 
Posts: 467 since Jun 2010
Thanks: 842 given, 592 received

Thanks Stan for that i was wondering from what i read was optionvue was the only tool out there. I will have to download and play around with it.

I guess its all about making the `righter` choices when it comes to option selling etc between strategy and implementation. For me i am looking more at exact R:R for strategy and if im taking the wrong strategy from a R:R it would be better i work it out quicker (for my longterm financial health)!

Can you just input the options you are looking at with option vue and out spits all of the potential strategy R:R or is it custom strategy 1 by 1 ?

Reply With Quote
The following user says Thank You to leinster for this post:
 
  #8 (permalink)
Banned: Rude behavior, doesn't want to be here
Zug / Switzerland
 
Futures Experience: Advanced
Platform: Different
Favorite Futures: Option and Futures
 
Stan Dan's Avatar
 
Posts: 67 since Sep 2013
Thanks: 64 given, 35 received


leinster View Post
Thanks Stan for that i was wondering from what i read was optionvue was the only tool out there. I will have to download and play around with it.

I guess its all about making the `righter` choices when it comes to option selling etc between strategy and implementation. For me i am looking more at exact R:R for strategy and if im taking the wrong strategy from a R:R it would be better i work it out quicker (for my longterm financial health)!

Can you just input the options you are looking at with option vue and out spits all of the potential strategy R:R or is it custom strategy 1 by 1 ?

You are welcome. Regarding OpVue7: Yes, download it and test it for two weeks. In case you want to buy the software, speak with them and you may even can test it for an extra two weeks.

On the option matrix you see all the strike levels from your derivative you trade. There is a bottom which is called: Format. Here you choose what you want to see as Legend. Choose what ever you like, but choose 'Ex pos' and 'Trade'. Now you choose your strike level and put in the amount of units you want to trade. Then you press "Analyze" and you will have your option strategy picture. Now you can play around with Existing positions and with new legs. This just the absolute basic tools. It would take to much time to explain all steps you can do there.

An other tool you can use is the "Trade Finder". Here you can choose from different strategies in any specific market and you will get a lot of ideas how to implement this strategies. Analyze the results and choose what ever you like.

As told: Test it as much as you can to get a feeling and an idea about the software. If you just want to trade plain credit and put debit and credit spreads in your future option trading and nothing else, it may is a bit too much. If you use a platform from an option broker, you may also will be served by what they offer on there platforms. Check for safety also this possibility. Stan Dan (Sorry about my limited English)

Reply With Quote
The following 2 users say Thank You to Stan Dan for this post:
 
  #9 (permalink)
Hyde Park,
Chicago, Illinois
 
Futures Experience: Intermediate
Platform: Tradingview.com
Broker/Data: Optionhouse
Favorite Futures: Options
 
Bermudan Option's Avatar
 
Posts: 467 since May 2011
Thanks: 395 given, 252 received

Here is something I use:

Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

Reply With Quote
The following 3 users say Thank You to Bermudan Option for this post:
 
  #10 (permalink)
Elite Member
Brussels / Dublin
 
Futures Experience: Intermediate
Platform: ninjatrader
Favorite Futures: Stdev + 2
 
Posts: 467 since Jun 2010
Thanks: 842 given, 592 received


thats exactly what i was looking for so as can make less `simple` mistakes!

Reply With Quote

Reply



futures io > > > > Option strategy cheat sheet and best software

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

Linda Bradford Raschke: Reading The Tape

Elite only

Adam Grimes: TBA

Elite only

NinjaTrader: TBA

January

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Forex Cheat Sheet dee50 Currency Futures 6 June 23rd, 2013 11:34 PM
Greek Election Cheat Sheet kbit News and Current Events 0 June 16th, 2012 07:10 PM
New Option Strategy kkjalan Options on Futures 21 March 10th, 2012 02:36 PM
Option Strategy Question jonoelgrande Options on Futures 7 February 17th, 2012 12:31 AM
Tech Support cheat sheet Big Mike Jokes 2 January 7th, 2010 02:20 PM


All times are GMT -4. The time now is 12:41 AM.

Copyright © 2017 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts
Page generated 2017-12-11 in 0.14 seconds with 19 queries on phoenix via your IP 107.20.115.174