Patent Pending Option Projection Tool

The projection tool provides the capability to calculate option or option spread values based on complex price and volatility moves. The user can project up or down movements in both the underlying prices and option volatility at various points. As each move is entered by the user, the option value is re-calculated to match the projected underlying price and option volatility.

The Projection tool is designed to project option or option spread values over various changes in both the underlying price and option volatility as selected by the user.

Option Projection Tool
Video Overview

Watch Now

Projection Features

  • Automatically build a spread using 30 plus built in spread types
  • User can edit or create a new spread with current (bid, ask, last or mid point or actual filled) prices for each leg
  • Spreads built in other features can be sent directly to the Projection window
  • Spread value is projected out to expiration based on user entered changes in underlying prices and Volatility
  • Break even underlying prices (orange line) are projected on a daily basis to expiration
  • In addition to P&L, user can also display Position Delta and other Greek views
  • Probability envelope (purple) added to guide user with underlying price projections
  • User can select between several types of volatilities to model. For a complex option spread, individual volatilities (IV) for each leg can be used and modified separately
  • The user can right click on the spread at any time to send it directly to a trade ticket.
  • User can select between several types of volatilities to model. For a complex option spread, individual volatilities (IV) for each leg can be used and modified separately

DT Option Projection Spreads

There are over 30 spread types supported as built in templates. You can customize your spread at any time by choosing different strikes, expiration or if its a put or call. One Stock leg and up to 8 Options legs are supported.

You can view the spread value all the way out to expiration. There are different types of analysis that can be displayed:

Profit/Loss, Spread Value, Delta, Gamma, Theta, Vega, and Rho

Simple adjustments to the underlying price action along with volatility will allow to you quickly set expectations and develop unlimited what if scenarios.

Advanced Volatility Adjustments

As you change the volatility, both legs are changed by the same increments separately.

The advanced volatility trader can also edit the implied volatility for each leg individually.

For an example, you can change front month volatility to be projected up then down towards expiration. The back month volatility can be projected flat and then upwards towards expiration as typically anticipated for a calendar call spread.