Option Graphs

Last modified

Overview

The Option Graphs feature lets you view a range of information for a single option.

The Option Graph display is a four paned work-page that contains the following:

  • A graphic comparison of the option's actual price overlaid on top of its model price
  • A price chart of the option's underlying asset
  • A graphic comparison of a variety of implied volatility calculations for the option and other options in its class, overlaid together with a plot of the historical volatility of its underlying asset
  • A pane containing four tabbed pages containing individual graphs of each of the Greeks for the option

From many points in Your SOFTWARE an option can be selected and an Option Graph directly opened for that specific option. This allows a quick overview of a wide number of interpretations of the option's price movements.

Open New Option Graph

Click the down arrow beside the Options icon and select Option Graphs from the drop-down menu:

tolbutn_optionsoptiongraph.png

An empty split screen with four panels will open.

Enter the symbol for the option you wish to graph in the Symbol field. If you do not know the option's exact symbol, select the Click to Search button to launch the Symbol Search dialog.

Open Populated Option Graph

From a number of option related work pages you can select a specific option and open an option graph for it by selecting Option Graphs from the Action button's drop-down menu or by right clicking to open the Pop-up menu which also has an Option Graphs command.

The following example shows the Action menu of the Option Analysis's Strategy work page:

volaltychart_openoactnmnu.gif

An Option Graph containing graphics for the selected option will display.

Option Graph Page Overview

A number of charts are displayed in the four panes, this facilitates analysis and comparison of all aspects of the selected option from one page:

optngraf_pageonly.png

Some controls apply to all the panes, while there are also controls and parameters that can be set for each individual pane or chart.

Common Controls

The features on the function bar apply to all the panes.

optngraf_funcbar.gif

In general these controls deal with the option series data, and the pricing models used to generate analytical data for this series.

There are also three view controls which apply uniformly over the four panes.

For more information on the Option Graph's Function Bar and its controls, go to the Option Graph Page Controls topic.

Individual Graph Controls

Each of the four panes can be resized, and many of the features common to other chart pages are available for each individual chart.

A chart must be selected before its individual controls can be accessed through the pop-up menu. A blue outline identifies the pane that is currently selected.

Each pane also has its own Chart Display controls in the lower right corner of its chart.

For more information on controlling the appearance of each individual pane in the Option Graph page, go to the Individual Graph Controls topic.

The Four Graphs

The four panes contain the following contents (beginning from top left, in a clockwise order):

Actual Option Price vs Model Price Comparison

The top left pane contains a graphic comparison of the option's actual price overlaid on its model price.

Various Implied Volatility Calculations with Historical Volatility

A graphic comparison of a variety of implied volatility calculations for the option and related options, overlaid together with a plot of the historical volatility of its underlying asset.

Greeks

The pane in the bottom right corner contains five tabbed pages containing individual graphs of each of the Greeks for the option.

Underlying Asset's Price Chart

The pane in the lower left corner contains a price chart of the option's underlying asset.

This chart can be displayed in any way that an ordinary price chart can. The chart will display in the current default chart type setting. The system default is bar chart.

For more detailed descriptions of any of the four graphs, click on its heading above, or go to the Option Graphs Contents topic.

Page statistics
539 view(s) and 8 edit(s)
Social share
Share this page?

Tags

This page has no classifications.

Comments

You must to post a comment.

Attachments