ROLLING STRADDLE/STRANGLE CHART

STOP paying for straddle charts!

Rolling Straddle/Strangle Chart is a FREE TradingView indicator designed for option traders to track the combined premium prices of straddle/strangle positions, offering insights into market trends on a rolling basis.

ABOUT THE INDICATOR:

This TradingView indicator provides an advanced tool for monitoring the combined premium prices of CE and PE strikes. This indicator allows traders to choose between tracking straddles or strangles on a rolling basis, adapting to various trading strategies. By integrating this indicator into your TradingView setup, you can visualize the combined premiums of call and put options, making it easier to identify profitable opportunities and manage risks effectively.

Features:

  • Straddle Premium Tracking: Monitor the combined premium of call and put options of ATM or near ATM strikes.
  • Strangle Premium Tracking: Monitor the combined premium of call and put options of ATM or equidistance OTMs/ITMs.
  • Rolling Basis: Analyze straddle positions dynamically over time.
  • Real-Time Data: Access up-to-the-minute market data for accurate analysis.
  • Single/Multi chart: Track multiple strike straddles/strangles at once by using Multi-plot options.
  • Customizable: Adjust parameters to fit your trading strategy.

Understanding the Indicator:

  • Combined Premium Plot: The chart displays the sum of the call and put option premiums for the selected strikes.
  • Price Movements: Monitor the fluctuations in the combined premiums to gauge market volatility and sentiment.
  • Support and Resistance Levels: Identify levels where the combined premium tends to stabilize, indicating potential support and resistance.
  • Trend Analysis: Look for patterns such as uptrends, downtrends, or sideways movements in the combined premiums to make trading decisions.
  • Volatility Indicators: Sharp increases or decreases in the combined premium may signal significant market events or shifts.

Input Parameters:

  • Chart Type: Choose between “Rolling Straddle” and “Rolling Strangle”.
    • Rolling straddle shows dynamically changed premiums of ATM and/or 4 other near ATM strikes (ATM+1, ATM+2, ATM-1, ATM-2)
    • Rolling strangle shows dynamically changed premiums of ATM and/or 4 other equidistance strikes (OTM1 CE + OTM1 PE, OTM2 CE + OTM2 PE, ITM1 CE + ITM1 PE, ITM2 CE + ITM2 PE)
  • Plot: Select “Single chart” or “Multi chart”.
    • Single chart shows straddle graph for for ATM
    • If multi plot is selected, you can see line graphs of all 5 straddles or strangles.
  • Symbol: Select required symbol to track. Note that even stock options can be tracked. For that select, “Other” in the symbol dropdown and choose the stock in the next adjacent field.
    • Reference ATM (Important): Closest ATM strike needs to be entered to track ATM straddle. For instance if index is trading at 22364 and strikes are available 22350 (lower) and 22400 (upper), then 22350 needs to be entered since it’s closest to current market price.
    • Expiry: Define the expiry date of that respective index.
    • Strike Difference: This is the difference between 2 strikes (not lot size) and is usually fixed. No need to change frequently after initial set up and save.
  • Indicators: Moving Average, Super Trend, ATR, Swing High/Low, Vwap
    • Check/uncheck required indicator to plot over straddles and strangle chart
    • Change default values of the indicator if required.
    • CE/PE: Select CE/PE charts to see the graphs of individual premiums of ATM strikes.

Pro Tip: Once after you enter all the values, you can hit on “save as default” so that next time you open this chart, you can reuse these settings.

How to avail this free indicator?

  • Go to TradingView indicators section, search for “Rolling Straddle with swing High/Low [Bluechip Algos]” and click on it.
    • Tip: You can also add to favorites so that next time it will be available just under your “Favorites” section
  • Once the indicator is applied to your chart, go to settings and configure the input parameters as mentioned above.
  • Great, you are done and can start using the indicator.

SUMMARY:

The Rolling Straddle/Strangle Chart is an essential tool for option traders looking to enhance their market analysis and decision-making process. By tracking combined premiums in real-time, this TradingView indicator helps you stay ahead of market movements and optimize your trading strategy. Start using this indicator today to take your trading to the next level.