I would like to get the standard deviation I have on my spreadsheet on to TOS to help in trading options. Personally, I try to stay 1-2 standard deviations away from the current price. If anyone has any interest in coding this, it would be much appreciated. I thank you in advance!
I was hoping to display +/-1 and +/-2 standard deviations on the charts. It would be similar to this post below, however, I use a different method to calculate standard deviation which I find more reliable.
I use the equation below for 1 standard deviation. For 2 standard deviations, I just multiply by 2.
Current Stock Price * [(implied volatility + historical volatility)/2] * square root of the "number of days" / square root of 365
I imagine the variables that would need to be inputed in the settings would be "number of days" which would range from 1-30.
The labels I'd ideally want are below. This is an example using a stock with a price of 781, with implied volatility + historical volatility/2 = .45, which was set for "number of days" = 5
1SD: 41 // 2SD: 82 // -2SD: 699 // -1SD: 740 // +1SD: 822 // +2SD: 863