eSignal - Option Chain Window Basics
The Option Chain Window quickly display Calls and Puts for any given symbol. To open an Option Chain Window, users can click File / New / Option Chain from the main menu bar. Also, if they are using a Quote Window, they can right-click the mouse over one of the symbols listed in that window and select Option Chain.
The Option Chain window displays data in a tabular format, with the month / year / strike prices in the center column, data for Calls on the left and data for Puts on the right.
Customizing Fields in the option Chain Window
You can insert, delete, move, and replace headings (fields) to customize the window for your needs. Just right-click the mouse over one of the existing field names.
Insert Field (Column)
Right click the column heading to the left of the place where you want the new column heading to appear. Choose Add Field from the popup menu that appears. The Select Field dialog box appears then left click on the specific column heading you want from the list, then click OK. The column heading you chose is inserted to the right of the heading you selected in the Options window.
Delete Field (Column)
Right click the column you wish to remove. Choose Delete Field from the popup menu that appears.
Replace Field (Column)
Right click the column heading you want to replace. Choose Replace Field from the popup menu that appears. The Select Field dialog box appears and choose the type of column heading you want, then click OK. The column heading you chose in the dialog box replaces the one you selected. The data in the column changes to reflect the new heading.
Adding Greeks to an Option Window
You can add columns to Options windows to display analytical information (Greeks):
Delta – the amount by which the price of an option changes fore every dollar move in the underlying instrument
Gamma – the degree by which the delta changes with respect to changes in the underlying instrument’s price
Implied Volatility – calculated by using an option pricing model (Black-Scholes for stocks and indices and Black for futures) and is the amount of price change that can be expected over a given period of time, expressed as a percentage
Intrinsic Value - the amount by which an option is "in the money."
Premium – the cost of an option
Rho - a measure of change in an option’s theoretical value due to a change in interest rates
Theoretical Value – an option value generated by a mathematical option pricing model to determine the true value of an option
Theta – the measurement of an option’s time decay
Vega – the amount by which the price of an option changes as its volatility changes
Ask Edge - This is the difference between the Theoretical value of an option and the current Ask price. Time value is used in this calculation, so this value isn't an exact difference.
Bid Edge - This is the difference between the Theoretical value of an option and the current Bid price. Time value is used in this calculation, so this value isn't an exact difference.
Standard vs. Non-Standard Options
Under the "Type" column you'll see either an S for Standard or NS for Non-Standard options. Generally Non-Standard options will relate to special conditions such as splits, mergers, dividends, etc. See image below for an example of a split.
Option Chain Right-Click Functions
When you right click in the data area of an Options window, you will see the following commands.
Order Ticket : Used with Broker Integration
New : To open other eSignal windows ( See image above)
Set Alert : To set an alert based on Last Price, Bid Price, Ask Price, and Volume.
Refresh : Allows user to refresh the data in the Option Chain, mainly used with the static mode.
You can filter the Option Chain window based on Month, Strike Price, and Volume by using the filters available in the Option Chain window, or by clicking 'Filters' in the drop-down menu bar under Option Chain. Filters minimize the load times and reduces your total symbol count.
In the "Filters" dialog window you will be able to select the months that you will like the options to display, select to display just Calls or Puts, display options with certain volume, or certain open interest, or simply filter the options by the strike price.
summary mode allows you to quickly enable or disable any filters applied to the option chain window. once the icon is turned on, filters such as specific month, volume, etc, will be applied to the chart. if the icon is disabled, the filters will not be applied and all the options will be displayed.
mirror column mode
you can customize the appearance of the options chain window by clicking option chain in the main menu bar. for example, besides changing the window color and fonts, you can change the display by clicking 'mirror column mode'. see image below.
Difference Between Dynamic Mode and Static Mode
The Dynamic setting displays the options updating in real time, this mode counts towards your symbol limit. The Static mode is only an snapshot of the options and they do not count towards your symbol limit. If you are using the Static mode, you can refresh the option window by clicking the conection status box.
Symbol Limit in Options Window
Each active symbol in your Option Window is counted towards your symbol limit. If you are having problems bringing up the full Options Chain, it is possible that you are hitting your symbol limit. You can refer to the symbol counter on your Status bar to see how many symbols are currently being monitored. For more information on Symbol count and how to maintain it, please click here.
Saving Style Templates and Defaults
Saving Template as Default - Like most windows in the program, users can save a particular template or several templates by clicking, 'Style Templates'. To save a particular template as the 'default' template, first adjust the settings in the window the way you want them. Go to 'Style Templates' and click 'Set as Default'. Any Option Chain window open after saving defaults will open with the new settings.
Saving different Syle Templates - To save a particular template that is not desired to be the default, set the template the way you want it, go to 'Style Templates', click 'Save', enter a name for the template and click OK. To apply tyhe template to any option chain window, select the option chain window by clicking it, go to the menu bar and click 'Option Chain' / 'Style Templates' and then click the name of the template you will like to apply. Repeat the same steps to create other style templates.
Please click here to access answers to the most Frequently Asked Questions.