Question: Does the "Options Time and Sales" Layout Provide any Useful Information

Discussion in 'Learn how to trade or invest by asking questions' started by haleejake802, Nov 26, 2017.

  1. haleejake802

    haleejake802 New Member

    TD Ameritrade has an "options time and sales" layout. It lets you see the following information:
    • The date the contract was traded and the time.
    • Which option was traded such as "19 JAN 18 67.5 P"
    • The quantity that was traded ex. "100 Contracts"
    • The price at which it was executed
    • Which exchange it was routed to such as CBOE or BATS
    • and a bunch of other stuff like the current bids and asks, IV, delta, underlying price, etc.
    Here's my theory:
    Looking at this can provide useful information as to what the "big players" are predicting.

    Here's the problem:
    Firstly, a lot of options are used for hedging. So, this could skew conclusions. Secondly, many of the "big players" have their orders routed through dark pools, so their orders often don't show up on this layout, or only a fraction gets routed to the transparent exchanges.

    Here's my question: Can this overly actually provide useful information or is it mostly anecdotal?

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