Option Block Trade Part 3

Option Block Trade Part 3



How to track large option block trades from initial execution?


If you use a screener to find trade ideas, it becomes important to test out and track some of your ideas before actually using a strategy in practice. The option block trade screener helps you with this by tracking each transaction from the initial price of the trade. So you can go back to large block trades from yesterday or this morning and monitor how the option price progressed from the time of the trade. For example, if you have a thesis that a large notional trade that was executed on the ask side of the market can be a good trade to piggyback, you can actually use the screener to test if your thesis would have been correct.


We had a couple questions regarding market data.


Do you have real time market data?


The market data is delayed by at least 15 minutes. We do not control the data. We purchase and license the market data from the exchanges. The real time market data requires to have special controls in place that interfere with our own service such as allowing multiple screens for side by side comparison, downloads, etc..


We are more of a research platform with historical data, theoretical values, payout diagrams, screeners, detection of price divergence from historical benchmarks, risk/reward analysis, forward looking events data, market insights etc...


The idea is that preparation and research is 99% of the game and execution is 1%.