Thanks for the reply. How do you get the chart and AT for the option? Is that the contract ID or something?
Thanks for the schooling, really appreciate it. TOS really is pretty slick. The Active Trader window really gives you all you need. Would love to know how you use those labels and studies in your options trading strategies... of course ;-) Do you ever use Market Orders when exiting or entering an options contract?
So you like to use hard stops on option contracts? Are they less inclined to get "hit" or "taken out" verses buying/selling shares? I have not had very good success with hard stops in trading on shorter timeframes. Seems like my stops get taken out to the $0.01 - $0.05 and then reverse too many times, makes me think "they" can see my stops and deliberately take them out.
Market Makers can see your stops... Sometimes I remove the Stop and never take my eyes off of the Active Trader Ladder... I primarily scalp options so I'm hands-&-eyes-on throughout the trades... The most important aspect of scalping options is that if momentum slows a bit, exit... Options prices plummet far faster then the underlying so I take what the market presents me... Limits are good for long trends but if the market changes I just hit Flatten Now before I'm stuck trying to catch falling knives and end up having a win turn into a loss... It's a tough habit to get into and when I break my own rules it costs me... Take what the market gives you rather than trying to read tea leaves... Better to take that small profit and then re-enter again and ride the trend up again if it rebounds rather riding the trade down to a potentially unrecoverable level... For scalping a .25 - .50 drop in the underlying can be unrecoverable for your option position, depending on the market... Rather than hoping for recovery, exit and look for a better trade...
If you want to trade options correctly, join RightwayOptions,... Stay for several months as mainly trading only with options.
Any chance I could get a try with that My_TTM_Squeeze_Pro?@lostcoastsurf I am not aware of any way to extrapolate and transpose the EntryPrice() of an Option onto the underlying Stocks chart... We don't have access to portfolio trade data... The correlation between the underlying and option is fairly complex and you don't buy the option at a specific underlying price, the transaction takes place totally separately... I run charts for both the stock and the option during trades, along with Active Trader for the option...
@Vorlauf Here you go... I wasn't even aware I was running this version instead of the one I wrote because, which is essentially the same...
# TTM_Squeeze_Pro_rad14733
# Based on: A version of the Squeeze Pro
# https://usethinkscript.com/threads/john-carters-squeeze-pro-indicator-for-thinkorswim-free.4021/post-60807
# Modified by rad14733
# v1.0 : 2021-01-24 : Added Momo Average and Vertical Squeeze Fire On/Off lines
# v1.1 : 2021-03-13 : Added avgMomo Acrylic line color and optional avgMomo cloud
declare lower;
input length = 20;
input avglength = 20;
input showVerticalLines = yes;
input showAvgMomoCloud = yes;
input momoAverageType = AverageType.SIMPLE;
#Keltner Channels
def hb = 1.0;
def mb = 1.5;
def lb = 2.0;
def avg = Average(close, length);
def k1 = avg + (hb * Average(TrueRange(high, close, low), length));
def k2 = avg + (mb * Average(TrueRange(high, close, low), length));
def k3 = avg + (lb * Average(TrueRange(high, close, low), length));
#Bollinger Bands
def BB_offset = 2.0;
def sDev = stdev(close, length);
def mid = Average(close, length);
def bb = mid + BB_offset * sDev;
#Squeeze
def s0 = bb > k3;
def s1 = bb < k1;
def s2 = bb < k2;
def s3 = bb < k3;
# Code taken from Momentum Squeeze by Mobius
# code is slightly modified to remove the squeeze portion
def c = close;
def h = high;
def l = low;
def K = (Highest(h, length) + Lowest(l, length)) / 2 + ExpAverage(c, length);
plot Momo = if isNaN(close) then double.nan else Inertia(c - K / 2, length);
Momo.setPaintingStrategy(PaintingStrategy.HISTOGRAM);
Momo.setLineWeight(3);
Momo.assignValueColor(
if Momo > Momo[1] and Momo > 0
then Color.Cyan
else if Momo > 0 and Momo < Momo[1]
then Color.DARK_ORANGE
else if Momo < 0 and Momo < Momo[1]
then Color.Red
else Color.Yellow
);
# End Code - Mobius' Momentum Squeeze
# Momo average line - rad14733 - v1.0
#plot avgMomo = Average(Momo, avglength);
plot avgMomo = MovingAverage(momoAverageType, Momo, avglength);
avgMomo.SetLineWeight(2);
# avgMomo Acrylic Line Color - rad14733 - v1.1
avgMomo.AssignValueColor(
if Momo > avgMomo and Momo > 0
then Color.WHITE
else if Momo > 0 and Momo < avgMomo
then Color.RED
else if Momo < 0 and Momo < avgMomo
then Color.WHITE
else Color.CYAN
);
# Squeeze dots on zeroline
plot squeeze = if s0 or s1 or s2 or s3 then 0 else double.nan;#
squeeze.SetLineWeight(3);
squeeze.SetStyle(curve.POINTS);
squeeze.AssignValueColor(
if s1 then color.orange
else if s2 then color.red
else if s3 then color.plum
else color.green
);
# Add vertical lines to further demarcate start and end of Squeeze - rad14733 - v1.0
def aggOk = if GetAggregationPeriod() < AggregationPeriod.DAY then 1 else Double.NaN;
AddVerticalLine(aggOk and showVerticalLines and bb crosses below k3, "Squeeze On", Color.RED);
AddVerticalLine(aggOk and showVerticalLines and bb crosses above k3, "Squeeze Off", Color.GREEN);
# AddCloud - rad14733 - v1.1
AddCloud(if showAvgMomoCloud then 0 else Double.Nan, if showAvgMomoCloud then avgMomo else Double.Nan, Color.WHITE, Color.WHITE);
# end codeYou can place a stop in the conditional order of TOS the same as a stock stop.
Wanted to offer something in return. Give this a try and let me know what you think. http://tos.mx/7oai1oA@Vorlauf Here you go... I wasn't even aware I was running this version instead of the one I wrote because, which is essentially the same...
Ruby:# TTM_Squeeze_Pro_rad14733 # Based on: A version of the Squeeze Pro # https://usethinkscript.com/threads/john-carters-squeeze-pro-indicator-for-thinkorswim-free.4021/post-60807 # Modified by rad14733 # v1.0 : 2021-01-24 : Added Momo Average and Vertical Squeeze Fire On/Off lines # v1.1 : 2021-03-13 : Added avgMomo Acrylic line color and optional avgMomo cloud declare lower; input length = 20; input avglength = 20; input showVerticalLines = yes; input showAvgMomoCloud = yes; input momoAverageType = AverageType.SIMPLE; #Keltner Channels def hb = 1.0; def mb = 1.5; def lb = 2.0; def avg = Average(close, length); def k1 = avg + (hb * Average(TrueRange(high, close, low), length)); def k2 = avg + (mb * Average(TrueRange(high, close, low), length)); def k3 = avg + (lb * Average(TrueRange(high, close, low), length)); #Bollinger Bands def BB_offset = 2.0; def sDev = stdev(close, length); def mid = Average(close, length); def bb = mid + BB_offset * sDev; #Squeeze def s0 = bb > k3; def s1 = bb < k1; def s2 = bb < k2; def s3 = bb < k3; # Code taken from Momentum Squeeze by Mobius # code is slightly modified to remove the squeeze portion def c = close; def h = high; def l = low; def K = (Highest(h, length) + Lowest(l, length)) / 2 + ExpAverage(c, length); plot Momo = if isNaN(close) then double.nan else Inertia(c - K / 2, length); Momo.setPaintingStrategy(PaintingStrategy.HISTOGRAM); Momo.setLineWeight(3); Momo.assignValueColor( if Momo > Momo[1] and Momo > 0 then Color.Cyan else if Momo > 0 and Momo < Momo[1] then Color.DARK_ORANGE else if Momo < 0 and Momo < Momo[1] then Color.Red else Color.Yellow ); # End Code - Mobius' Momentum Squeeze # Momo average line - rad14733 - v1.0 #plot avgMomo = Average(Momo, avglength); plot avgMomo = MovingAverage(momoAverageType, Momo, avglength); avgMomo.SetLineWeight(2); # avgMomo Acrylic Line Color - rad14733 - v1.1 avgMomo.AssignValueColor( if Momo > avgMomo and Momo > 0 then Color.WHITE else if Momo > 0 and Momo < avgMomo then Color.RED else if Momo < 0 and Momo < avgMomo then Color.WHITE else Color.CYAN ); # Squeeze dots on zeroline plot squeeze = if s0 or s1 or s2 or s3 then 0 else double.nan;# squeeze.SetLineWeight(3); squeeze.SetStyle(curve.POINTS); squeeze.AssignValueColor( if s1 then color.orange else if s2 then color.red else if s3 then color.plum else color.green ); # Add vertical lines to further demarcate start and end of Squeeze - rad14733 - v1.0 def aggOk = if GetAggregationPeriod() < AggregationPeriod.DAY then 1 else Double.NaN; AddVerticalLine(aggOk and showVerticalLines and bb crosses below k3, "Squeeze On", Color.RED); AddVerticalLine(aggOk and showVerticalLines and bb crosses above k3, "Squeeze Off", Color.GREEN); # AddCloud - rad14733 - v1.1 AddCloud(if showAvgMomoCloud then 0 else Double.Nan, if showAvgMomoCloud then avgMomo else Double.Nan, Color.WHITE, Color.WHITE); # end code
I did speak with a rep. on the support chat. He told me that TOS doesn't support using AT for option trading. I informed him that they should make it not possible or either possible. It shouldn't be a grey area at all when ppls money is on the line. He said they never said it was supposed to be used for options trading. Do other platforms allow for AT type trading of options?
How To Trade Options:
I have used the AT ladder for options quite a few times with no problem, but I don't trade options very often. It's nice to keep track of the option price that way. I click on the open option position I have open in the trade tab, right-click on the open position in the option chain and send to [COLOR}] then I go to the chart that is linked to that color and click the Active Trader tab. It's always worked, I've never done it any other way. I hope you get it figured out. You could always use it and if it freezes you could keep another panel open (like positions or trade) to quickly exit the trade if something goes wrong.
Here's a good video from a guy who uses the active trader tap for options and how he sets it up.
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