diagram builder

Discussion in 'Options' started by urrterrible, Oct 7, 2010.

  1. Is there a site where I can plug in some options and it spits out a profit/loss diagram?

    I am interested in creating a structured note-like option model using GLD.

    I would like to see if I can create the note I saw where you get 2x the upside until 35% profit, if the price goes down 10% you lose no money, but after that you lose dollar for dollar.

    So basically you are capped at 35% for 2 yrs, you have the safety of not losing money if GLD goes down 10%, anything more than 10% loss you lose dollar for dollar.

    Any help would be appreciated.
  2. Several trading platforms do this. I use ThinkOrSwim. When I'm teaching and I want to illustrate a point where the P/L graph would be helpful, it is easy to add proposed positions and see the effect on the graph.

    Also, early on in my options education, I would use the graphics to make sure that I was not getting confused between longs and shorts and puts and calls in my spreads. Now I can picture the results by just looking at the options chain.