Using flow data to make profit - Strategy in Testing (UPDATE)

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MasterSteve

Active member
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@MasterSteve
Thanks again for your contribution and your patience

I didn't read instruction correctly and couldn't get it to work. I got it to show Put/Call now... (make sure you add extra day)
  • Does this only work with 1m? I set same date for 1m and D charts, and results are different.
  • I'm ASSUMING the label PUT/CALL are simply DIRECTION, PUT = expect down move, CALL = expect up move. Since it's not showing bid or ask. Is this right?
It does not only work with 1 min. Label puts and calls are movements in puts and calls. It could mean buying or selling puts (or calls) and I wouldn't only rely on this to provide direction. I don't use it to make trades, just found for the members here.
 
M

MasterSteve

Active member
VIP
@MasterSteve , first of all thank you for the link regarding the put call ratio. i m look at it tonite and see how it can fit into day trading and swing trading. the reason why i am interested in the correlation between the price movement and the put call ratio is i am trying to see if in fact the money makers and institutions are using it as a contrarian data. example: if the p/c ratio goes beyond 1.5 which means traders are piling up puts, that triggers money movers to buy the stock heavily to make price go up and then push puts holders to sell their puts and cut their losses. same things can be said about the call side.
as far as the put/call ratio TOS links are concerned, the first one looks at multiple expiration. if so, if i put the expiration date as 20191116, would it mean that the code is looking at all the weekly expiration from now until Friday 20191115?
and based on your experience how should use this indicator to enter a trade ? thx again
Yes if you put the exp date as 20191116, the code will look at all expirations from now until that Friday. I don't have any opinions on how to use the information gathered from this indicator. I don't use it for entering and would have to spend a lot of time with it before I could give you any recommendations for or against it. I would caution you against just using the put/call ratio for an indication of movement because it only tells one piece of information. You can have an increased put movement that is brought on by buying or selling puts, selling puts would be an indication of the stock going up. It looks like some of the other members are messing with it, they may have more information on its usefulness.
 
R

RoastGhost

New member
Hey guys, I’ve recently built a live options flow data website and I’m showing it off partially to get karma and mostly to prove that websites that charge $150+ shouldn’t exist. Please let me know your thoughts.

This tool shows where big money is making moves. It aggregates data from clearinghouses and various exchanges to showcase abnormal activity in the time and sales.

Split = a large order split into many small lots in an effort to stay under the radar
Block = a large order made in one lot

You’ll notice the ability to search by a specific ticker or to look at the daily overall flow. When the market is live this data will update live and if you’re seeing a lot of the same sentiment you’ll be able to understand where the money is being moved. Each transaction always contains both a buyer and seller, spreads will also show up in pairs to showcase both legs.
 
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MBF

MBF

Active member
2019 Donor
Warehouse
@RoastGhost I will check it out tomorrow. Tried pulling up ROKU as a loan ticker and no go. Maybe because markets closed.
 
C

Cleartarget

New member
I will said thank you Steve for what you are doing teaching us about UOA ,really learn a lot today,later will ask some questions.
 
C

Cleartarget

New member
@MasterSteve could you make a UOA checklist step by step ,on how you select the UOA plays .
Also did you ever use the Barchart option scanner ,i was looking at it also, I notice CBOE has multiples option scanners which one did you use.
At moment i will be following you with your daily calls, but really most important for me is learn how find posible candidates.
 
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BenTen

BenTen

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@skynetgen Someone mentioned they get their data from CBOE, the same platform that @MasterSteve is using.
 
M

MasterSteve

Active member
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Hey folks, some personal stuff and expenses came up over the weekend and I had to take care of it. I'm pulling the money out of my account to cover it. However, just because I'm not in the market doesn't mean I still won't keep working on my strategies. In a day or so I'll be back to making callouts, running a $1000 paper trading account, and soon I'll be posting a daily watchlist. Stay tuned!
 
S

San

Member
2019 Donor
And for @MBF. I found a trader with this script in a discord group I recently joined and was able to get him to explain it to me. This is from Signet from the Pro Option Education Discord group.

"
PUT / CALL Graph This study is a bit tricky to use and the settings are gonna seem a little complex at first, but once you get comfortable with it you will come to love it.

I like to set it on a 1 minute chart with other indicators like Cumulative TICK. To set the date, the format is YEAR | Month | Day & the day is always the NEXT DAY after the date you see.

Example, if I want to set this on Facebook, I know that Friday is the last trading day for the options. I would need to set the date one day later for Saturday. This study is looking back @ a lot of options series & finds the aggregate.

PUT / CALL Graph
+ ( http://tos.mx/7Tck6mY )

PUT / CALL Graph (Single Series) This is the same study, but only looks for a single expiry. + ( http://tos.mx/voWo7Hb )

ThinkScript study_20191020

ThinkScript study_20191020

Tip: watch how you set the date

Year, month, day.

Options are only gonna be intraday while market is open
"

I've spent some time messing around with the graphs tonight on OnDemand thinkorswim and can answer some basic questions if you have any with it. It takes a little bit to load after you put it in and you can mess with some of the settings to look at exactly what you're interested in. Hope this helps.

Steve
@MasterSteve, After I read your post, I could not figure out how do i used this script.Or i miss some thing.. Can yo post some screen shot.
 
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Cleartarget

New member
@MasterSteve, After I read your post, I could not figure out how do i used this script.Or i miss some thing.. Can yo post some screen shot.
Me also i dont get it.
 
MBF

MBF

Active member
2019 Donor
Warehouse
Hey folks, some personal stuff and expenses came up over the weekend and I had to take care of it. I'm pulling the money out of my account to cover it. However, just because I'm not in the market doesn't mean I still won't keep working on my strategies. In a day or so I'll be back to making callouts, running a $1000 paper trading account, and soon I'll be posting a daily watchlist. Stay tuned!
Sorry to hear Steve, I hope nothing too trying for you. Look forward to your return.
 
G

ganq

New member
2019 Donor
Hi @MasterSteve - Thanks for all your help on this site, I am following you on Twitter for any latest trade ideas you may have.

Is there any tool/script we could use to help make similar decisions like you are doing in regards to the Call/Put ideas you have on the spreadsheet?

Thank You!
 
M

MasterSteve

Active member
VIP
@MasterSteve, After I read your post, I could not figure out how do i used this script.Or i miss some thing.. Can yo post some screen shot.
@Cleartarget @San I can post some screenshots of how I got it to work tomorrow. I don't have much experience with it because I don't use it to trade, but I'll see if I can clear up some of your questions.
 
M

MasterSteve

Active member
VIP
@MasterSteve could you make a UOA checklist step by step ,on how you select the UOA plays .
Also did you ever use the Barchart option scanner ,i was looking at it also, I notice CBOE has multiples option scanners which one did you use.
At moment i will be following you with your daily calls, but really most important for me is learn how find posible candidates.
In addition to the information I've already provided here I am working on a trading guide. It's purpose is to help people learn flow and be able to identify potential plays. Progress on that is slow, its third or fourth on my list of trading to dos, mostly to my work on the call outs. Its complicated to explain all the parts of what I look for. I don't think any one thing that we look for in a trade is complicated, but I don't want to confuse people when I put it all together.
I use a combination of scans I've put together to search for unusual option flow. If you have multiple specific questions on what to look for or how to set up your scans, you can reach me easier on our discord page also run by @BenTen here.

There we can chat easier, and I may have some time later this week to go on voice and talk you through some of the scanners and how to read what I read. This invitation is open to everyone, I am easy to reach on discord.
 
M

MasterSteve

Active member
VIP
Hi @MasterSteve - Thanks for all your help on this site, I am following you on Twitter for any latest trade ideas you may have.

Is there any tool/script we could use to help make similar decisions like you are doing in regards to the Call/Put ideas you have on the spreadsheet?

Thank You!
Tools/scripts on what platform? I haven't found any free tools that can replicate what I look for but there are some options offered up by other members earlier on this thread that do some of what you're looking for. I would recommend to take a look at those first and see where that takes you.
 
S

San

Member
2019 Donor
In addition to the information I've already provided here I am working on a trading guide. It's purpose is to help people learn flow and be able to identify potential plays. Progress on that is slow, its third or fourth on my list of trading to dos, mostly to my work on the call outs. Its complicated to explain all the parts of what I look for. I don't think any one thing that we look for in a trade is complicated, but I don't want to confuse people when I put it all together.
I use a combination of scans I've put together to search for unusual option flow. If you have multiple specific questions on what to look for or how to set up your scans, you can reach me easier on our discord page also run by @BenTen here.

There we can chat easier, and I may have some time later this week to go on voice and talk you through some of the scanners and how to read what I read. This invitation is open to everyone, I am easy to reach on discord.
@MasterSteve, I understood that, its difficult to explain the concept or strategy , as you stated "I don't think any one thing that we look for in a trade is complicated, but I don't want to confuse people when I put it all together." I have suggestion , Instead of explain in text. Can you make a quick video so this way we will get most of the concept in visual.
 
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skynetgen

Active member
Warehouse
There is a site which is quite good for options. Their free services is still better than what you can get TOS. Presently its what I am using to research flow. - not an expert by any means but thats best service I could find for flow researach
 

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