Managing your options positions will never be the same! You’ve asked for trailing stops in 1-minute Exit Options, and your wish has come true. This new platform release includes multiple enhancements that give you unparalleled control and flexibility for every position.
Exit Options now support trailing SmartStops. This is a game changer for options traders and something we’ve worked hard to deliver based on popular Community suggestions.
You can still set a profit target and stop-loss to automatically exit a position at a pre-defined level with custom SmartPricing settings. With the new update, you can now activate the trailing stop when your position hits a profit threshold for increased customization when managing your trades. Plus, your position’s high and low returns are tracked every minute of the trading day.
For example, you could trigger a 10% trailing stop once the position has a 40% return. If the position retraces to 30% profit, an order is sent to exit the trade.
If the position’s profit continues to increase, the trailing stop automatically increases. So, if the position’s high reaches 50%, the exit order triggers if the position retraces to 40% profit.
Disable trailing stops
That’s not all. Thanks to all of you, we received a lot of feedback to help optimize this exciting new tool. You can disable the trailing stop to avoid a reversal that may result in a lower-than-anticipated return. You can customize the Exit Option to automatically disable the trailing stop if:
- The return % is less than a % of the credit
- A pullback is more than a % from the high
Sometimes pricing is volatile and bid/ask spreads widen. The new bid/ask guard lets you ignore these situations until pricing becomes more rational.
You can automatically disable Exit Options if the bid/ask spread exceeds your defined value. If the bid/ask spread is larger than your acceptable price, Exit Options won’t send an order. It also won’t record the position’s high or low. You can edit Exit Options at any time before or after opening the position.
For example, if the Bid/Ask Guard is $0.20, and the spread is $0.08, the position’s bid/ask spread is lower than the guard’s value. Exit Options will continue to run, and the position's high % and low % are tracked.
If the Bid/Ask Guard is $0.20 and the spread is $1.23, the bid/ask spread exceeds the maximum allowable value. Exit Options will be temporarily disabled and the position's returns will not be tracked until the bid/ask spread comes back inside your target range.
Expanded expiration control
Last but not least, you have added flexibility when exiting positions on expiration day. With Exit Options, you can exit a position before expiration if a profit target or stop loss level is not hit. You now have four additional filters on the day the position expires:
- 15 minutes before the market closes
- 30 minutes before the market closes
- 1 hour before the market closes
- 2 hours before the market closes
As always, you can save your Exit Options as ‘Presets’ to easily reuse them in future positions.
Updating Exit Options in automations
In addition to setting Exit Options when you open a position manually, you can add Exit Options to any position you open inside an automation’s Open Position action.
Plus, with the new automation editor release, you can now also edit Exit Options directly inside any automation for ultimate position control.