Options Research & Education Tools

While quite theoretically sound, ORATS' approach to research wasn't born out of quantitative study among ivory-tower PhD's. It was born out of necessity on the options trading floor of the CBOE, where Matt Amberson and other traders in Matt's company grew frustrated with the lack of reliable, practical data feeds that viewed the markets the same way they did.

Fact: Experienced trader's view the market differently than conventional modeling techniques naturally support. They know intuitively, as some examples, how to take out earnings effects, how to adjust dividends based on past corporate behaviors, how to re-interpret volatilities based on what they really see going on in the markets and how they actually hedge their positions, and how to compare volatilities of different options series or different underlyings in an apples-to-apples way. Such intuitions are how money actually gets made in the real-world markets. The problem was that no vendors at the time were capable of providing data that embody these essential perspectives. And so ORATS was born: to provide accurate, reliable, robust, actionable trading data that builds in and supports the practical techniques known only to the most experienced traders in the options industry.

Below are the most noteworthy proprietary quantitative techniques that ORATS has developed. Don't get caught in the trap of trying to develop all of this for yourself. ORATS has spent decades and millions of dollars perfecting their research and data. Join some of the best traders in the business in trusting ORATS as their partner of choice for mission-critical options data research backed by exemplary support.

Advanced Volatility Modeling

  • Tick-by-tick Volatility - For more comprehensive volatility calculations and greater accuracy.
  • Volatility Summarizations - To enable volatility visualizations and comparisons that are not apparent in any other way.
  • Volatility Forecasts - Scientifically proven to be more consistently accurate than traditional implied volatility calculations.
  • Implied Earnings Move - The difference in Earnings Move projected by comparing implied volatility with Fair Volatility.

Visit here to read more about our Volatility data products.

Implied Dividends and Dividend Forecasting

  • Consolidated Dividend Forecasting - we combine the perspectives of many of the top dividend forecasters in the industry with our proprietary analysis of corporate histories to produce a superior forecast.
  • Implied Dividends - we derive the consensus of dividend predictions implied across all participants in the real-time options markets, an unparalleled resource for both an alternative price perspective as well as a highly sensitive leading indicator for anticipated dividend change.
  • Multi-factored Approach - our consolidated forecast gives you not only our best dividend forecasts based on all of the above techniques, but also makes visible the rationale behind each derivation.

Visit here to read more about our Dividend data products.

Earnings Effects

  • Implied Earnings Effect - What the options market is predicting for an upcoming earnings move.
  • Earnings Effect Forecast - Forecasts for the stock move on earnings based on histories and implied volatility levels.
  • Fair Volatility - The level at which implied volatility is expected to fall after earnings plus the Earnings Effect Forecast.
  • Historic Volatility Ex-Earnings - Volatilities recalculated with earnings effects taken out.

Visit here to read more about our approach to earnings calculations as well as our Earnings data products.

Backtesting Methods

The wonderful thing about being in the forecasting business is that one can easily measure the legitimacy and value of one's work. At ORATS we apply sophisticated backtests to all of our data, both as a vigilant test for data quality as well as for a continual challenge to our thesis of trading advantage. We take pride in the fact that our products consistently exceed our rigorous backtesting criteria, which we are happy to walk through with anyone who may be interested. In our opinion, professionals should always insist on this burden of proof before deciding to trust in a vendor for their most critical research.

  • Forecasts vs. Realized Values - once market data has been actualized, we compare our forecasts against those derived using standard conventional techniques. ORATS forecasts consistently beat the standard approach with high statistical significance.
  • Simulated Trading - ORATS tests its data in a wide range of simulated trading scenarios to verify that results fall within expected, acceptable ranges.

Visit here for our Scanning & Backtesting product offering

Contact Us

See how our data and tools can help you organize, analyze and track your option investments & potential trades.

Our goal? To assist investors everywhere in easily tracking and analyzing options data more effectively. Curious about how stock options work? Be sure to contact us for a free webinar or training session.

Discover more about Stock Options Analysis & Backtesting, Stock Option Data and Stock Option Investing with the OReport, our free monthly newsletter.

Find out why top options traders and industry-leading options front-end vendors alike choose to trust in ORATS. Their results can now be yours. The power is in your hands.

Questions? Contact ORATS Today.