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Option position greeks calculatur

Discussion in 'Options' started by status1, Dec 31, 2015.

  1. status1

    status1 Well-Known Member

    Hello,
    I was using this calculator that is available on this website in the tools section and I was wondering if this has any real value or is it more like a reference tool
    Is this anywhere near like the option view or not even close ?
    In other words can I rely on this tool to tell me when to make adjustments or not really ?

    Just out of curiosity I tried it out with the new rhino trade alert for March expiration and everything looked green except the theta vega ratio which according to the color and the explanation it says that the greeks could cause a problem so I am not sure how accurate this is or maybe I should ignore this warning for now if I just placed this order
     
  2. tom

    tom Administrator Staff Member

    The tool came from a spreadsheet Dan Harvey used to monitor his Weirdor trades. It's far short of OptionVue in terms of what it does. It is simply a tool to help you analyze an iron condor type of trade to see when it might be getting into trouble. The theta on a Rhino is pretty low initially, which is a bit different to an iron condor that starts closer to expiration.
     
  3. status1

    status1 Well-Known Member

    Thanks for clearing that up
    So would that be safe to use on any iron condor or just a werirdor type condor ?

    The vega seems to be very sensitive
    I placed the data from an iron condor and everything was green except the vega theta ratio,
    With the theta at 15.27 and vega at 76.35 they are all green but if I change the vega to 76.36 the theta vega ratio goes to orange I guess there is no yellow or in between green and orange

    I was also looking for the weighted vega spreadsheet
    I watched that video about it and it mentioned that is available somewhere but I can't seem to find it
    At least I don't see it in the tools page
     
  4. GreenZone

    GreenZone Well-Known Member

    The weighted vega spreadsheet is no longer being made available, due to "political" issues with a non CapitalDiscussions entity.
    I don't want to get into the details beyond what I've already mentioned.
     
  5. status1

    status1 Well-Known Member

    Wow, I did not realize there was "politics" in here

    Leaving "politics" aside would I be able to create my own spreadsheet from that formula in the video or is there more to it than that ?
     
  6. GreenZone

    GreenZone Well-Known Member

    Ok, I've edited the spreadsheet such that it will not cause an issue with the outside entity I mentioned before.
    I've attached it to this post.
     

    Attached Files:

  7. tom

    tom Administrator Staff Member

    Thanks Ron!
     
  8. status1

    status1 Well-Known Member

    Yes, Thank you from me as well
    Looks interesting Now I just have to learn how to use it
    Do I have to enter anything for the raw vega ? It doesn't seem to do anything as far as the TOS inputs or is that for something else ?
    It seems to make the peak higher by about $100 near the expiration compared to the unmodified vega Would that be normal ?
    Actually it seem to raise the expiration line as well
     
  9. GreenZone

    GreenZone Well-Known Member

    I explain how the spreadsheet is used in my weighted vega video.
     

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