In my opinion it would be one that I'd be looking to multiple time frames. The reasoning behind that is if the trend is moving in a direction for a longer period of time then you are more likely to come out profitable. Scalping options can cause you to either make or lose a lot of money really fast (since you'll likely pick options with a very short time to expiration). Because of the high risk high reward setup you want to do whatever you can to minimize potential downside. One of the ways I personally do this is by picking setups that have a potential trend in the direction I'm trading on bigger time frames, that way if I miss my exit on a really short time frame I still have a chance to get out alive without losing all of my money.Find the best options scalping strategy
Does anyone have an indicator/study that works best for them when it comes to Options Trading ?
Thanks.
Ohh wow. Same here. I usually day trade but swing occasionally if the charts are looking promising. I usually use RSI,MACD, Volume and VWAP. Just got into TTM Sqeeze recently (still trying to figure out how it works). I agree with you. The key is finding the best combinations that works for you. What time frame/s do you use ?@Tuna7020 What style(s) of Options Trading are you interested in, and do you have a current setup that you are using...??? I mainly scalp and day trade Options based on momentum so I use indicators that monitor the underlying symbols for confirmed trend reversals and increased momentum... TTM_Squeeze and RSI are good indicators, as well as many others... I have used several setups successfully over the years... What is most important is what combination of indicators works best for you... I'm sure we can come up with something once we know more about your trading style(s)...
Heikin Ashi charts are 'average of the price movement' right ? I currently use just the regular candle sticks and my fav timeframes are 5m,15m and 1h. Will look more into the Heikin Ashi candles. How do you set stop losses ? I know some people set them based on % loss but I do set mine based on my support lines...@Tuna7020 I primarily use the 2m timeframe but also monitor 5m, 10m, 15m, and 30m... I also use several different chart setups rather than merely relying on a single set of indicators... I have used Renko Bars in the past but am currently using Heikin Ashi candles to help with trends and to avoid knee-jerk premature exits...
Heikin Ashi charts are 'average of the price movement' right ? I currently use just the regular candle sticks and my fav timeframes are 5m,15m and 1h. Will look more into the Heikin Ashi candles. How do you set stop losses ? I know some people set them based on % loss but I do set mine based on my support lines...
Heikin Ashi is commonly referred to as averaged but in reality it's more smoothed... Then some folks go even further and use smoothed Heikin Ashi, which I find redundant...
I usually set stop-losses at either percentage or price, whether fixed or trailing-stop... There have been times when I've set Stop-loss based on previous low of the underlying as well... Plenty of choices...
Sounds good. Do you use any particular Scan criteria?Heikin Ashi is commonly referred to as averaged but in reality it's more smoothed... Then some folks go even further and use smoothed Heikin Ashi, which I find redundant...
I usually set stop-losses at either percentage or price, whether fixed or trailing-stop... There have been times when I've set Stop-loss based on previous low of the underlying as well... Plenty of choices...
https://usethinkscript.com/p/best-scalping-indicators-for-thinkorswim/hey all. Newish to trading and specifically interested in scalping options. due to time limitations
I'm looking for recommendations for studies/indicators that are best used for scalping options, along with any recommendations on lower studies to pair with them. Thanks in advance!
basically I dont really want to get involved, at least not right now, in swing trades because I'm in the office M,W,F's. So my thought was to try scalping on the days I'm remote.Define time limitations.
Scalping, for me, is playing an option for a quick profit, can be a matter of seconds to minutes but not to extend beyond the actual day in question. My goal is small gains daily to build my account over time and limit my risk. I'm also currently just paper trading on TOS so I can find my preferences and get comfortable with the platform. I'm using SPY only.What type of minimum criteria would you look for in determining which options are suitable to be scalped in the first place, and how would you go about finding them?
What make you so interested in scalping? In fact, define scalp. Most trader-speak is loosely agreed upon slang, I want to be sure we're talking about the same thing here.
Join useThinkScript to post your question to a community of 21,000+ developers and traders.
Start a new thread and receive assistance from our community.
useThinkScript is the #1 community of stock market investors using indicators and other tools to power their trading strategies. Traders of all skill levels use our forums to learn about scripting and indicators, help each other, and discover new ways to gain an edge in the markets.
We get it. Our forum can be intimidating, if not overwhelming. With thousands of topics, tens of thousands of posts, our community has created an incredibly deep knowledge base for stock traders. No one can ever exhaust every resource provided on our site.
If you are new, or just looking for guidance, here are some helpful links to get you started.