How to Plot Indicators Based On Option Price History
You can now plot many indicators based on the option price history (not the underlying stock).
1. Click the Add Plot to Chart button.
To plot this indicator for an option, make sure you have an option selected from your option chain. Click here for more on viewing option chains and charts.
There are two other ways to open the Add Plot menu. 1) Use the forward slash "/" hot key to add indicators; 2) Right-click anywhere on the chart and choose Add Plot from the drop down menu.
2. Type Option in the search field
Use the search field to quickly look up items to plot.
3. Click on the option indicator desired
In this example we will choose Volume-Option (but any other options-related plot can be used).
4. The Indicator (option volume) is plotted for the option in the bottom pane
5. Plot overlay on Option Chart
If you want the indicator plotted on the option price history, click the option label in the legend of the pane.
Select Add Plot Here...
Type the desired indicator name (example here is Moving Average-Simple)
The indicator is now plotted over the option price history (overlaid)
6. Plot Technical Indicators based on Option price history
Add technical indicators based on the price history of the option (not the underlying stock). Click the Add Indicator button.
Type the name of the desired indicator (in this example, Stochastics). Click on the Stochastics indicator in the list to add it to the chart.
The Stochastics plot is currently based on the stock's price history. Click the name of the indicator in its pane and select Data Source of Plot. In the flare out menu, place a checkmark beside "Option Symbol".
The Stochastics plot is now based on the Option price history (and thus is the stochastics of the option). Note: this can be done with many technical indicators.