How To Find The BEST Stocks For Options Trading (STOCK SCANNER SETUP In ThinkOrSwim)

[@scottreesetradinginvesting7936]

Finding the right stocks to trade can be extremely time consuming if done by hand. So I hope my stock scanner tutorial makes that process a lot faster and easier for you! :)

[@sochoi1286]

Scott, thank you for your presentation and setting Ameritrade plateform.

[@scottreesetradinginvesting7936]

@@sochoi1286 You’re very welcome! Thanks for watching! :)

[@Otis-the-III]

Great video! We get into the market to make cool money, so yeah when done right trading can be a game changer I know for a fact.

[@estevez1942]

I don’t doubt the rewarding returns of the financial trades market but, the problem for me is that its concepts are extremely complicated and, even more so difficult to incorporate into my trading plan. Tbh, I’m overwhelmed. Blew my account twice already!

[@Otis-the-III]

Lol! Following these KZbin videos might be helpful but, they can’t even come close to outperforming proper risk management and experience. Professional aid may be the only recourse.

[@Otis-the-III]

My aggressive portfolio has returned over $520k this year from stock options, CFDs, and NFPs going under the guidance of Christine Mila, a licensed pro trader, her system gets me profits and on the plus side, it affords me the luxury of TIME!

[@sPacEBallOOn]

That follows logically. Congrats on your profitability!

[@LiquidityOcelot]

@@Otis-the-III⁠ Do u know if she provides traders for clients in other areas? Help me get to her.

[@theoherro823]

Interesting content, videos like this and assistance from an expert helps.

[@finntomkins6825]

Well said, couldn't agree more, their assistance goes a long way for some of us, that's why i am now being coached by one, Edwin Earl and he is certified.

[@ethangavin5348]

@@finntomkins6825 hello Finn, can you link me to one? i have also seen Edwin Earl's review on multiple forums and i need some assistance.

[@finntomkins6825]

INVESTWITHEARL

[@finntomkins6825]

via telegram

[@jerryhayes4722]

Great Tutorial! Learn more from you in the minutes it took to watch this video than the years I spent trying to understand and profit from options to trade. Thanks.

[@scarletbelmont9022]

Very clear explanation. I've always been a small cap scalp trader because I was afraid of options lol. I decided to bite the bullet and I am reall starting to get it. Thanks for the help on scanning for stocks!

[@scottreesetradinginvesting7936]

You're very welcome! No reason to be afraid of options either! When properly understood and traded correctly, they can be a very powerful addition to your overall approach. Just start small and simple and gradually work your way up. Thanks for watching! :)

[@TexasSean]

Great videos man. I hope your channel blows up. You have a good understanding on deliver the information clearly. Much appreciated.

[@scottreesetradinginvesting7936]

I appreciate the kind feedback! Thanks for watching, Sean! :)

[@mandyberglund7811]

Scott, I really appreciate your preparation and clarity in these videos. I know I’ll learn a lot from you as I continue to follow your channel. Thanks for the excellent content!

[@scottreesetradinginvesting7936]

Really appreciate the kind feedback, Mandy! Plenty more content to come…stay tuned! :)

[@fiatluxtv6000]

Excellent teaching skill.Thank you for sharing.

[@salpolizzotti6940]

Thank you for being clear, concise, even paced and giving an easy to follow explanation of using iv rank (percentile).

[@jamesofsandiego]

Thanks Scott. It's pretty obvious when selling premium to scan for volatility. The liquidity, capitalization, and volume bits are not as obvious but every bit as important.

[@2wjj]

Thank you Scott for sharing.

[@scottreesetradinginvesting7936]

And thank you for watching! :)

[@trinidiana]

Hi. Can you do a video on the synthetic long or risk reversal option strategy? Thanks ! So happy I found you.

[@scottreesetradinginvesting7936]

Hi Diana! Can you please elaborate a bit more on what you mean by that? And thanks so much for watching! I'm glad you've been enjoying my videos and Skillshare courses :)

[@skipperga]

Excellent tutorial! Great job!

[@billklein5225]

Extremely well done. Thanks.

[@scottreesetradinginvesting7936]

You’re welcome! Thanks for watching, Bill! :)

[@shankerchennapareddy5629]

this is the vedio i was cooling for as a beginner in option trading

[@jameshagar9337]

Excellent educator. Clear presentation, well-spoken, smart application of IV. Thanks so much! One question: Previously I had thought that IV Rank is IV relative to all other stocks, while IV Percentile is IV relative to itself, to its own past performance. You seem to be saying that both are relative to its own history. Is there a way to scan how one stock trades relative to all others, whether it's generally a "high volatility stock" or a "low volatility stock"?

[@scottreesetradinginvesting7936]

Hi James...thanks for watching! As for your question, both IV Rank and IV Percentile compare the current IV relative to itself over some previous timespan. These indicators are not a way to compare the IV of one stock to the IV of another. That said, generally speaking I usually look for stocks where the raw IV is at least 50%. I have found that such stocks are volatile enough to offer decent option premium. So you can set your stock scanner to only search for stocks with an IV above 50%, and then you can sort that list by their IV Ranks to see which ones also have an IV level that's above average for that stock.

[@jameshagar9337]

Thanks, Scott. That clears it up for me. 50 and sort. That'll work! I've subscribed and started getting into your other videos. Clear and valuable.@@scottreesetradinginvesting7936

[@cjshaw1218]

How does one get the ivrank on a chart in ToS.? Its not appearing in the list of studies. Thanks

[@scottreesetradinginvesting7936]

Hey Chris...the IV Rank and IV Percentile indicators do not come built in to TOS unfortunately. However, I do have an older video that will show you exactly how to add them! Check it out here: kzbin.info/www/bejne/kIrQeWSXh9mtnrM

[@mrshep8215]

You are the man. Who said scotty doesn't know?

[@ramonruilopezv.9457]

I'm learning a great deal from your videos. I hope your channel continues to grow. Thanks for sharing. By the way, I tried to include the IV_Percentile study in the Scan tab but when I try to add the Study Filter the page shows an error message. I'll try to figure it out. Have a great day...

[@scottreesetradinginvesting7936]

I'm glad you've been enjoying my content, Ramon! I really appreciate you watching my videos :) And sorry about the trouble that you're experiencing with the Scan tab...I have not experienced that issue. If you can't resolve it, then I would contact TD Ameritrade's customer support line and see if they can help!

[@garygarrett1867]

You cannot use a study filter for a scan on the papermoney side. Only the live money side. Build your scan on the real money side, then share it to the paper money side.

[@fropello4353]

Awesome bro, very nice. I do not have TorS, any recommendations on free scanners of IV if there is any.

[@scottreesetradinginvesting7936]

Honestly, I'm not too sure as I only use TOS. TradingView would be my best suggestion, but they might charge you a small monthly fee. Perhaps do some Googling and see what you can find!

[@fropello4353]

@@scottreesetradinginvesting7936 I tired trading view. I think they have one. Thanks man. Great content, would start watching your vids. 💯

[@scottreesetradinginvesting7936]

@@fropello4353 Awesome! And I'm glad you enjoy my videos...thanks for watching! :)

[@Spitfireseven]

You can only hit a thumbs up once. This is a good vvideo. Thanks for making it. Right now I can only listen but someday I will actually know what you are talking about. That usually happens after the first few fat lips. Thanks again!

[@k-oiya5004]

Awesome vid!!

[@scottreesetradinginvesting7936]

I’m glad you found it helpful! Thanks so much for watching! :)

[@neuvocastezero1838]

Interesting, another KZbinr describes "Vol Index" as a measure of relative volume, and there are no refrences that I can find on the TOS site that defines the parameter at all. Nice vid though, thanks.

[@pgroan]

Nice summary; thanks for posting. I have 2 questions: (1): do you use other indicators like MACD in your screen? (2) Where can I get the script for the iv percentile that you show on your screen?

[@mic80205]

why do you use stock for the row instead of option

[@kenya3049]

As of Aug 29th, 2024, what is the name for IV Percentile now because I don’t see that in my list as either name you said

[@raymiusainc8640]

Great video....what do you think about Barchart? thanks

[@jameshipp4456]

Scott, can you provide the ThinkScript for the ivrank indicator that you mention in this video?

[@satishdhokai8643]

Want to see similar video on indexes which are more stable

[@scottreesetradinginvesting7936]

I'm not sure it's possible to configure the stock scanner to only look for ETFs. That said, there are far fewer ETFs than stocks. So I would suggest Googling some common ETFs in various market sectors that you can add to your watch list. Some solid examples would be SPY, QQQ, IWM, EWZ, GLD, SLV, FXI, EEM, EFA, TLT, XLY, XOP, UNG, IYR, XBI, and XLK.

[@satishdhokai8643]

I think ETF are more stable than stocks so selling put or put spread has more chance of winning

[@scottreesetradinginvesting7936]

@@satishdhokai8643 There is definitely some truth to that, but because of that better stability, ETFs have much lower implied volatilities than stocks. As a result, you will not be able to sell those puts for very much in premium. Definitely a personal preference though....if you want greater reward, you must take on greater risk.

[@JamJells]

Check the study link as it didn't work. Please respond and edit out lines that might be blurring the study.

[@Chicaglo]

when I hit scan nothing pops up

[@scottreesetradinginvesting7936]

Ya that can happen sometimes. Try closing out of ThinkOrSwim and relaunching it. That usually fixes the issue.

[@JamJells]

Where can I get the IVrank study? My TOS platform; now on C.S. isn't listed. Can you share the link to this study so I can import it?

[@fredbartel5863]

Great video thank you. Question. Is selling an option contract equivalent to buying a put? Kind of or no?

[@affordfreetime]

Yes and no. Selling a call has a max profit of the premium but unlimited loss as theoratically the stock price can go up indefinitely and you will have to buy it at market price to sell it to the buyer of the call. Now buying a put, your loss is limited to how much the put option costs you but you have unlimited upside potential if the stock price crashes. Both strategies are bearish, betting on the price of the stock going down.

[@h0o0dat]

Does think or swim show the greeks in your scan, even if you don't have all the greeks as a search criteria? I tried running a scan and theta vega were blank. I ran the scan on the weekend and I don't know if that is the reason.

[@scottreesetradinginvesting7936]

Running the scan on the weekend is not the issue. On the same menu bar where the "Scan" button exists, you need to also set the output of your scanner to show "Options" or "Stocks & Options". You may also need to add new columns to the output table below to show the Greek values that you're looking for. There is a very small gear icon on the top right of the table that allows you to "Customize" it.

[@dashermike3207]

correction I had one setting wrong

[@dgaz3057]

how do you set up the volatility study?

[@Rebel-from-Hell]

how do you add a study filter? i get a pop up that says "you are not permissioned for study filters"

[@scottreesetradinginvesting7936]

Hmm that is very weird, and to be honest, I’m not sure why that is happening for you. I would call TD Ameritrade’s customer support line and see if they can assist you.

[@user-wj7nz2nl2z]

hello do you have any scanner for ETF too ? what are the cratirias to scan ETF? thank you

[@scottreesetradinginvesting7936]

ETFs should be included in the output of the stock scanner. However, I do not believe it’s possible to scan only for ETFs. But they should be scanned for with basically the same criteria as individual stocks. The one exception would be to relax your requirements on implied volatility a bit because ETFs are usually a lot less volatile than individual stocks. This is actually why I don’t trade them very often…it’s hard to collect decent premium when selling options.

[@user-wj7nz2nl2z]

@@scottreesetradinginvesting7936 thank you very mach

[@NoName-st7tx]

Can’t add a study + IV rank

[@scottreesetradinginvesting7936]

Have a look at this past video of mine. It will show you exactly how to add the IV Rank and IV Percentile indicators in ThinkOrSwim... kzbin.info/www/bejne/kIrQeWSXh9mtnrM

[@raymiusainc8640]

Scott are you workin the Scan under Stock Hacker? Thx

[@scottreesetradinginvesting7936]

Not entirely sure what you mean. This is just the Scan tab in ThinkOrSwim.

[@tropicthndr]

His reply doesn’t make sense, there’s “stock hacker”, “options hacker”, “spread hacker”. This is supposed to be a scan setup for options but all his studies are for “stock” on left side, why didn’t he chose options if this is supposed to be an options scan. Very vague.

[@mycasualworld]

@@scottreesetradinginvesting7936 till now, I used: under SCAN > Option Hacker > scan in: Weeklys / All Stocks / All OTC stocks..to filter out such a big scan of ALL stocks even those without options.. I'll give this SCAN > Stock Hacker side, a try. Thanks!

[@dashermike3207]

this scan returns zero stocks for me

[@mikeledonne356]

does the scanner have to run while market is open?

[@scottreesetradinginvesting7936]

Nope! You can run the scanner at any time. If the market is currently closed, then the scanner will just use the closing prices from the most recent trading day.

[@mikeledonne356]

When I enter volume with any amount I receive 0 results.

[@scottreesetradinginvesting7936]

@@mikeledonne356 Hmm perhaps your other scanner criteria is too strict? I just ran my scanner in ThinkOrSwim, and I'm still getting quite a few results.

[@mikeledonne356]

Thanks for responding. One final question. I am unable to select study. Could I select option, then select the Imp Vol

[@satishdhokai8643]

I do I start in your skill share site?

[@scottreesetradinginvesting7936]

Apologies, but I'm not sure I fully understand your question. Are you asking where should you start with my Skillshare courses?

[@satishdhokai8643]

Yes, how do I start skill share courses?

[@scottreesetradinginvesting7936]

@@satishdhokai8643 Simply click any of the links to my courses that I provide in the descriptions of all my videos. You will be able to sign up to Skillshare through those links and receive a 1 month free trial. Once you’re signed up, you’ll be able to watch all of my courses!

[@MuttonChops24]

I’m confused about buying my/selling options. When you sell options, are you then buying them back when they fall? Basically like shorting a stock?

[@faisalraj6654]

When you sell an option, you receive a Credit (eg. $30). Then, as option expiration comes closer, you can either buyback / pay Debit (e.g. $10) and you made a profit of $20. Or, you can do nothing and let it expire on the option expiration date (in which you will get the full profit of $30). Remember, sometimes, it is better to buy back and take small profit because you don't know what happens between next day till expiration date. Market may turn against you and your profit may turn into loss. Hope I explained well.