OPTION SIMULATOR
Options trading is a very challenging task. Such metrics as implied volatility, option Greeks, and underlying asset price must always be under the eye of an options trader. To keep risks under control and make well-timed trading decisions, you must be able to answer the following questions:
- What is the current directional bias of my option positions? Is it bullish, bearish, neutral?
- How would a change in implied volatility or price fluctuations of the underlying asset impact my Greeks and potential profit?
- Will I benefit from the time decay, and to what extent?
- When and how should I make an adjustment to my open option positions?
- What will be my profitability range at the expiration or at a specific date?
Our Excel-based Option Strategies Simulator is here to help you get the answers to those questions and to change your trading experience. With this powerful and intuitive option analysis tool, you can quickly build, forward test, and accurately predict what will happen under various market conditions. The application was built using the Black-Scholes option pricing model. It was specifically designed to be used for CFD option simulations. The CFD contract specifications may vary from one CFD broker to another. In order to get accurate simulation results, you can adjust all those settings in the application Instruments Table. It goes without saying that if you trade regular option contracts, you can use our simulator as well. Check out a quick video just to see how to build an options trading setup step-by-step.
Please, watch also the video overview of the Option Simulator User Guide. It can be downloaded in PDF format by clicking the button below.