OPEN-SOURCE SCRIPT
Stock Option Seller - Open Road
## 📌 Description — Open Road · Option Seller
**Open Road · Option Seller** is a structured decision-support indicator designed for **systematic option sellers** trading monthly credit spreads on large-cap Indian equities.
It converts price action, momentum, and volatility into a **clear, rules-based structure selection**:
* **Put Credit Spread**
* **Call Credit Spread**
* **Iron Condor**
* **Wait (no trade)**
The goal is simple:
Remove discretion and provide a **repeatable framework for directional and non-directional option selling**.
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## ⚙️ Core Logic
The system is built on a **multi-factor scoring model**:
### 1. Trend Engine (3-factor scoring)
* EMA positioning (20/50)
* Short-term consistency (last 5 closes vs EMA)
* 21-day momentum
This produces a **Trend Score (-3 to +3)**:
* +3 → Strong Bullish
* -3 → Strong Bearish
* Between → Neutral / Lean bias
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### 2. Market Condition Filters
* **RSI (14)**
* Identifies exhaustion and conflicts with trend
* **ADX (14)**
* Distinguishes trending vs range-bound environments
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### 3. Structure Selection Logic
* **Low trend / extreme RSI → Iron Condor**
* **Trend + clean RSI + ADX confirmation → Directional spreads**
* **Conflict → No trade (WAIT)**
This ensures trades are taken only when **market structure is aligned**.
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### 4. Strike & Risk Framework
* Uses **ATR-based wing sizing**
* Automatically rounds to practical strike intervals
* Provides **approximate strike suggestions** for:
* Short legs
* Hedge legs
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## 📊 Visual Panels
The indicator includes 4 diagnostic panels:
1. **EMA Distance Panel**
→ Measures price positioning vs trend
2. **RSI Panel**
→ Highlights overbought / oversold regimes
3. **ADX Panel (+DI / -DI)**
→ Identifies trend strength and direction
4. **Trend Score Histogram**
→ Clean visual representation of directional bias
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## 🧠 Signal Output
On the latest candle, the system displays a **decision panel** with:
* Trend classification
* Score (out of 3)
* RSI & ADX interpretation
* ATR + wing size
* Final structure recommendation
* Suggested strike levels
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## 🎯 Designed For
* Monthly option sellers
* Systematic traders (rule-based execution)
* Traders who want to avoid discretionary bias
* Large-cap equity option strategies
Best suited for:
**RELIANCE, HDFCBANK, TCS, SBIN, AXISBANK (Daily timeframe)**
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## ⚠️ Important Notes
* This is a **decision-support tool**, not a fully automated trading system
* Strike suggestions are **approximate** and should be validated with live option chain data
* Works best when combined with **risk management and position sizing discipline**
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## 🧩 Philosophy
Most option sellers fail not because of strategy, but because of **inconsistent structure selection**.
Open Road enforces:
* When to sell directionally
* When to stay neutral
* When to not trade
That alone removes a large part of edge erosion.
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Skrip sumber terbuka
Dalam semangat TradingView sebenar, pencipta skrip ini telah menjadikannya sumber terbuka, jadi pedagang boleh menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupuan anda boleh menggunakan secara percuma, ingat bahawa penerbitan semula kod ini tertakluk kepada Peraturan Dalaman.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.