tools to find "best deal" on options

V

vstk01

hi,
looking for tools to find "best deal" pricing on options (for buying and selling)...ex: scan options chain and show optimal premium

- any free?
- even based on delayed quotes would be great
- real-time?
...

also any brokers provide this analysis?
(Canada)

my knowledge of options is -limited- so be gentle.

(ie: done covered calls...and want to try selling puts)

much appreciated.
 
In my opinion, the best tools are the ones you develop yourself, usually using free tools as the basis.

Here's an example using Excel:

1. Download some finance plugins for Excel, like these ones:

http://www.hoadley.net/options/options.htm (free-ish I suppose)

2. Get a book on Excel VBA programming, like this one:

http://www.amazon.com/Excel-Macro-Programming-Richard-Shepherd/dp/0072231440

3. Then spend a few months tinkering with ideas, and scan the market for opportunities using your favourite options strategies, like ones outlined in this book:

http://www.amazon.com/Bible-Options-Strategies-Definitive-Practical/dp/0131710664

However, free tools alone aren't going to give you the edge you need to get decent returns in the long run.
 
ahem...

Could you define what you mean by "best deal" prices. May I suggest that would depend upon a contrarian view of the implied volatility.

The market has priced an option at a certain volatility, and, if you disagree, you make money by buying or selling that option. If the market is right, you don't make money.

Thus, you decide whether an option is over or underpriced.
 
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