Best Options Screeners

Options trading can be an exciting and lucrative venture, offering investors a wide range of strategies to capitalize on market movements. However, navigating the vast ocean of options contracts can be overwhelming, especially for newcomers. That’s where options screeners come to the rescue. Options screeners are powerful tools that help traders identify potential trading opportunities by filtering through an extensive list of options contracts. In this article, we will explore some of the best options screeners available in the market today, each with its unique features and advantages.

Best Options Screeners
Best Options Screeners

Understanding Options Screeners

Before diving into the best options screeners, let’s first understand what they are and why they are essential for options traders. An options screener is a software tool that allows traders to filter through a multitude of options contracts based on various criteria, such as stock price, option price, expiration date, implied volatility, and more. By using these screeners, traders can narrow down their search to find contracts that best align with their trading strategies and risk tolerance.

Options screeners are an invaluable resource for both beginners and experienced traders. For novices, they can help simplify the process of finding suitable options contracts without getting lost in the complexity of the options market. For experienced traders, screeners offer a time-saving advantage by quickly generating a list of potential trades, allowing them to focus on deeper analysis and execution.

Some of the Best Options Screeners

Analyzed below are some of the best options screeners available.

E*TRADE Options Screener

E*TRADE is a reputable broker that offers a powerful trading platform and research tools. Their platform and app include an options screener that lets traders filter options contracts by various criteria, such as option type, strike price, expiration date, and volume, among others. The screener also has predefined filters based on common strategies and market outlooks. Traders can use the Options Analyzer tool to see the probabilities of an option trade visually and assess its risk and reward profiles. The Options Analyzer tool is integrated with the platform and app and can be used for any options trade.


E*TRADE
E*TRADE

TD Ameritrade Thinkorswim

Thinkorswim is TD Ameritrade’s premier trading platform, known for its advanced tools and sophisticated options trading capabilities. Their web platform features an analyze tab that includes an options screener that lets traders filter options contracts by various fundamental data, such as earnings per share, dividend yield, and market cap, among others. The analyze tab also has an Option Hacker tool that allows traders to screen for options based on technical indicators, such as implied volatility and probability of profit. Additionally, the analyze tab has a Spread Hacker tool that enables traders to scan for options strategies based on user-defined criteria, such as covered calls, iron condors, or straddles. These tools are very useful for traders who prefer more complex options strategies.

TD Ameritrade Thinkorswim
TD Ameritrade Thinkorswim

TradeStation Options Scanner

TradeStation is a brokerage known for its advanced trading tools and technology. Their Options Scanner offers traders a wide range of screening criteria, including technical indicators, option Greeks, and implied volatility percentile. Additionally, traders can customize and save their scans for future use, making it easy to stay consistent with their trading approach.

TradeStation’s Options Scanner also features real-time data, providing traders with up-to-date information on options contracts as they move in the market. This real-time advantage can be crucial for capturing opportunities swiftly.

TradeStation
TradeStation

Yahoo Finance Options Screener

For traders on a budget, the Yahoo Finance Options Screener is an excellent free option. Although it does not have as many features as some of the paid screeners, it offers three tools that allow traders to screen for options based on different criteria, such as open interest, implied volatility, and underlying symbol. Traders can also screen for options based on specific stocks or ETFs, making it useful for those who prefer a more focused approach.

The Yahoo Finance Options Screener displays the options contracts and their relevant data in a table format, which traders can sort and filter by various columns. Traders need to click on the contract name to see more details, such as the bid, ask, and volume of the option.


Yahoo Finance
Yahoo Finance

CBOE Strategy Screener

The Chicago Board Options Exchange (CBOE) is one of the largest options exchanges globally and offers a powerful strategy screener. While it’s not as extensive as some of the other screeners, the CBOE Strategy Screener is unique because it focuses on predefined options strategies.

Traders can use the CBOE Strategy Screener to search for specific options strategies, such as covered calls, protective puts, and collars, based on their market outlook. This can be immensely helpful for traders who have a particular strategy in mind and want to find suitable options contracts quickly.

CBOE Strategy Screener
CBOE Strategy Screener

Interactive Brokers OptionTrader

Interactive Brokers (IB) is a brokerage known for catering to professional and active traders. Their OptionTrader tool is a trading tool that lets traders view and trade options on an underlying. Traders can filter options contracts based on standard criteria, such as strike price, expiration date, type, and exchange.

What sets IB’s OptionTrader apart is its advanced features, such as displaying implied volatility, calculating fair value, viewing the Greek risk dimensions, and seeing open interest on option chains. These features can help traders evaluate and execute sophisticated trading strategies. Moreover, the tool is integrated with their trading platform, which enables traders to execute trades directly from the tool. This seamless integration streamlines the trading process and reduces the time between identifying an opportunity and executing the trade.

Interactive Brokers
Interactive Brokers

Conclusion

Options screeners are indispensable tools for any options trader, regardless of their experience level. They simplify the process of finding potential trades, save time, and improve decision-making by providing a comprehensive list of options contracts that align with the trader’s criteria. Whether you are a beginner or a seasoned pro, incorporating one of these best options screeners into your trading arsenal can undoubtedly enhance your options trading strategies and overall performance.


Remember always to complement the information obtained from screeners with thorough analysis and risk management to make well-informed trading decisions. Happy trading!

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