This site has been developed because I have many ideas on how to present and use option trading strategies and numbers. The challenge for me was to:
This site is intended to provide information and insight into option trading. The tools on the site can be used to evaluate profit/loss (PL) or risk characteristics for complex option structures.
Usually PL calculations are relatively easy at expiration, but this site also provides estimates of profit/loss graphs at other dates that the expiration date. In this way you are able to estimate how the option structure will perform in one week or a number of days from now, or if you are buying December options in February, what they're estimate value will be in July.
No. Let me be absolutely clear about this, the site has been set up for people who trade in week options and monthly options, but also people who want to hedge their stocks with options and people who just want to learn more about options. With the tools on the site, you can either get a better grasp of risk/reward characteristics to make better trades, or play around with structures to see what options can do for you.
This site can be used separately next to any type of software. Profit/loss and option greeks calculations come with some advanced broker packages, but nowhere have I yet see a free software package that will calculate risks and rewards for any arbitrary number of options, nor have I found any package that will estimate these figures at any date before expiration.
I am not a daytrader, although I have a number of years experience in derivatives trading and hedging stocks. I am primarily an engineer, who likes complex technical systems such as the stock and derivatives market. If you want to know more regarding the development of this site and its tools or if you have ideas regarding the development of other tools, please contact me through the contact tab.