Summary

In this module, we take a deeper dive into the concepts outlined in the software introduction. Concepts are built on top of the previous module, so if you have not already please view the Software Introduction before completing this module. 

Open Interest Confirmation 

A recent addition at Eagle Investors, open interest confirmation allows us the ability to confirm and track the unusual options activity and confirm an entry as well as observe an exit to an existing trade for management purposes. To observe open interest confirmation, you will need to reference both the open interest listed on the day the order was transacted (found on the dashboard) and the open interest of the entire options market the next day. In the following days, open interest data can be acquired through any major broker and is easily accessible with trading platforms such as Robinhood, Webull, ThinkOrswim, TastyWorks, and Interactive Brokers. In addition, the Eagle Investors advisors track large open interest changes each day in the Infinity and Diamond sections.

Option Spreads

Be aware of Option Spread orders, Individuals Selling Options, and Exits to positions. The majority of the software includes these complex orders and the key is to find the orders that meet the outlined criteria.

Eagle Algo will set price target levels where you will take profits at specific increments. It will also set stop loss levels where you will cut trades for a loss for risk management purposes. Adjust your sensitivity for the best results. The longer the time frame, the higher the sensitivity, the lower the time frame, the lower the sensitivity.