Overview
This script is a versatile and customizable template designed for traders who want to automate options trading strategies using Pine Script.
It provides a foundation for integrating your own indicators or trading logic and facilitates the execution of options trades based on your specified conditions.
Key Features
Custom Indicator Integration
Easily incorporate your own indicators or strategies into the template.
Allows for flexibility in defining entry and exit signals.
Flexible Trade Configuration
Define long and short entry conditions based on your trading logic.
Choose between buying calls, selling puts, buying puts, or selling calls on signals.
Select the number of strikes away from the At-The-Money (ATM) price for option contracts.
Specify the expiry date of the options contracts.
Automated Order Execution
Utilize TradingView alerts to trigger trades based on your conditions.
Automatically construct option symbols based on your inputs for seamless order placement.
Risk Management Options
Configure exit strategies, including closing on opposite signals, take-profit levels, or stop-loss orders.
Adjust quantity and position sizing to align with your risk tolerance.
User-Friendly Inputs
Accessible input settings for all configurable parameters.
Visual table displayed on the chart showing selected strikes and option details for verification.
How the Strategy Works
Entry Signals
Long Entry Condition (longCondition)
Triggered when your custom condition for entering a long position is met.
Short Entry Condition (shortCondition)
Triggered when your custom condition for entering a short position is met.
Option Selection
Option Types
On a buy signal, choose to either buy a call option or sell a put option.
On a sell signal, choose to either buy a put option or sell a call option.
Strike Price Selection
Define the number of strikes away from the ATM price: 0 for ATM.
Positive numbers for Out-Of-The-Money (OTM) strikes.
Negative numbers for In-The-Money (ITM) strikes.
Expiry Date
Select the expiry date for the options contract via the script inputs.
Exit Strategies
Close on Opposite Signal
Positions are closed when the opposite entry condition is met.
Take Profit
Positions are closed when a specified profit target is reached.
Stop Loss
Positions are closed when a specified stop-loss level is hit.
How to Use the Template
Integrate Your Trading Logic
Insert Your Indicator or Strategy Code
Locate the section in the code titled // BEGIN USER INDICATOR/STRATEGY BLOCK.
Replace the placeholder code with your own indicator calculations.
Define Entry Conditions
Assign your long entry condition to the variable longCondition.
Assign your short entry condition to the variable shortCondition.