Intraday currency option software manual
Intraday currency option calculator is the Unique Tool developed by Smart Finance for the 1st time in the world. This is one of the simplest and only tool available as of today for making trade intraday decision on options. This tool uses the following procedure for deriving the price of option and volatility.
As a User you will provide the input as follows
1. Current Market Price of a currency pair.
2. Option Strike –Whose price you want to predict for intraday.
3.Current price at which the option is trading.
4. Days left till expiry (It is the number of calendar days left in a month for expiry).
5. Which Type of option you want to forecast(either Call or Put)
This application will tell you at which price you should buy the option with what stop loss and what will be their target for 4 levels.
Below the 4 target level of the stock or index will be given for your reference. Each successive target of the option will happen if the underlying move to those target levels.
Example: Say USD INR pair august 2012 is trading at 56.70 ,current market price of 57 strike call option is trading at 0.65 and 29th august 2012 is the date of settlement.
I will enter the followings in the option calculator on 25th July 2012 :
Current Market Price …..56.70
Strike price …..57
Current option price…0.65
Taking 25th July 2012 as the date of my trading I will enter
Time till expiry…..35( Total calendar trading days till 29th august 2012)
Option Type I will choose……call
Then I will submit
I will get the following output
Call Option Buy-Stop loss-Targets are
Buy At- 0.6785
You must ask me when these Targets will come.
Refer the last table you will find different targets of the currency pair as per Gann method. When the currency pair will touch the buy target-1 the call option target-1 will achieve. Same way when the currency pair will touch the sell target-1 the put option target-1 will achieve.
Benefit: the currency option intraday trading has less brokerage and no STT and has greater profit potentiality. After many Years of work ‘Newton Raptions method of interpolation’, using binomial option pricing model, Gann method I have developed this tool for the benefit of the intraday option traders. Your feed back and comments will make me to enhance this application. If you find any error then please put a mail to me in email@example.com .