eSignal version 12/21 - Option Chain Window

eSignal version 12/21 - option chain window

the option chain window displays calls and puts for optionable stocks, futures and indices. the option chain window will also display weekly, end-of-month, and quarterly options. click here for more information on these types of options.

to open an option chain window, can click new / option chain from the main menu. a keyboard shortcut (ctrl+8) is also available.

 

alternatively, the option chain window can be launched by right-clicking any symbol from another window (such as the watch list window) and selecting actions for [symbol] then open in option chain.



selecting display mode
there are two display modes for the option chain window. the first is the single column view which displays data for each contract on two rows, the first row for puts and the second for calls:



the second mode is the mirror image display, which displays puts and calls on the same line with calls on the left side and puts on the right side of the display: 



you change mode from the default single column view to the mirror image view by selecting option chain on the main menu bar and then unchecking single column view:



at the top of the window (on the title bar) there are fields to edit the symbol, select expiration month(s), change column headings format, and select filter parameters:



entering a symbol in the option chain window
to enter a symbol in the option chain window, type a symbol in the symbol field or click the arrow in the box to select a symbol on the drop down menu:



selecting the contract month(s)
to select the options' contract month(s), in the second field on the title bar, click the arrow in the box to select a contract month or months on the drop down menu:



selecting header column templates
to select a pre-set header column template, in the third field on the title bar, click the arrow in the box to select analytics (Greeks), basic, description, detailed, or futures options on the drop down menu:



customizing headings
you create your own customized header column template, click the options icon  next third field box:



applying filters
you can filter the option chain window displayed information based on type, 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 reduce your total symbol count.



customizing columns in the option chain window
you can add, remove, move, and arrange columns to customize the window for your needs. right-click the one of the column headings (i.e. symbol, last, change) and following menu will appear:



add columns
choose add columns to view a list of available fields.  double left click any field you wish to add.  the column heading will be inserted to the right of the heading that you originally right-clicked. 



remove [column name]
right click the column you wish to remove.  choose delete field from the pop up menu that appears.

Arrange Columns
Sizes columns so that they are the “best fit” width.

adding greeks to an option window
with the add columns function, you can add columns to display analytical information (greeks) by selecting option analytics from the drop down menu.
 


ask edge (aedge): 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 (bedge): 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.
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 (intrinval): the amount by which an option is "in the money."
premium: the cost of an option.
rho: measure of change in an option’s theoretical value due to a change in interest rates.
theoretical value(theorval): 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.

option chain right-click functions
when you right-click in the data area of an options window, you will see the following menu: 

Dynamic:  When checked, options update in real time. This mode counts towards your symbol limit. When unchecked, a snapshot display is used which does not count towards your symbol limit. If you are using the Static mode, you can refresh the option window by clicking the connection status box.
No Filter Mode: Turns off Filter Mode.
Single Column View: Toggles Single Column View or Mirror display formats.
Show Underlying Symbols: Displays price information of underlying symbol at the top of the window.
Copy: Allows you to copy a symbol or symbols to another window, such as a Watch List window.
Select All: Allows you to select all the symbols in the Hot List window to another window.
Style Templates:
Properties: You can change the format of the Cells, Symbol Fields, Gridlines, Directions and Histograms.

Properties
The Properties dialog box displays the following selections:

• Default Cell
• Strike & Symbol Field
• Analytics
• Grid Lines
• Directions & Histograms

default cell
the default cell menu allows you to specify the font type and size along with a button for bold and italics.  there are color settings which include text and background.  background #2 is checked if you prefer alternating colors for each row. 



strike & symbol 
change fonts, colors, and of the symbol and colors for in the money, out of the money, and near the money contracts.  also a setting is available to define how many contracts constitute near the money. 


 
analytics
the program uses the industry standard black-scholes method for option pricing. change the calculation inputs:
risk free interest rate: allows you to update the risk free interest rate, which is usually based on a short term us treasury instrument, such as the three month us treasury bill.
recalculate analytics every: allows you to select the frequency in which the analytics are recalculated (which can be cpu intensive).
override implied volatility: allows you to enter a custom value for implied volatility.
rolling average/30 interpolated weighted moving average:  select the type of average to be used in calculating the analytics.

grid lines
add vertical and horizontal gridlines by checking/unchecking the appropriate boxes.  also has a setting to change the color of the grid lines.


 
direction
change the color and display of when a tick is up or down using this menu.  the color field allows you to choose a column (symbol, last, change, all cells) for the color display which is based on net change.  green (up) indicates a positive change, red (down) indicates a negative change, and grey (zero) indicates no change.  tick display allows you to toggle between using arrows or +/- for changes up and down.