Options Czar allows the user to calculate and visualize the results for the following operations:

• Stock purchase
• Stock sale
• Call option purchase
• Call option sale
• Put option purchase
• Put option sale

Buying Stock

The simplest way to understand Options Czar is to start by performing a manual operation to buy stock from a listed company. In this case, we will buy 100 Amazon.com shares. First, run Options Czar and load the data as described here. When the Amazon.com data is loaded, the Options Chain tab should look like the screenshot at right.
Note that the operations table at left is empty. Now select "Tools - Purchase - Stock" and the operations window will apear as in the screenshot at right. The stock price will vary depending on the date you choose to work on the program. In this case, the user chose to buy 100 Amazon.com shares at a market price of US$ 35.07 each. When the trading commissions are added, the user spent US$ 3717 for the trade. Choosing between "New" and "Existant" will select whether the commissions are counted or not. Clicking "OK" will account the trade.
Since only one trade has been performed, the user will click "Done" after completing it. An inclined straight line is shown on the chart (see right) that is green when above the horizontal axis and red when below the horizontal axis. This curve represents the profits and losses that the user experiences when performing the stock purchase operation. When the stock price falls, the strategy falls into the red area where losses occur. When the stock price increases, the strategy falls into the green area, where there are prodits. Try clicking with your mouse on the chart to place the vertical blue line and view the profits or losses at certain stock prices.
The operations table to the left shows the 100 shares that have been purchased. If the mouse is placed for a short period on top of the table, a small table will appear and provide the user with the exact wording that he/she can use to explain the operation to the stock broker.

Options Czar is about options strategies. These are more complex to understand than stock purchases. When purchases and sales of calls and puts are combined into strategies, the investor may obtain profit/loss charts that match his/her stock price predictions. In the picture below, Options Czar was used to simulate a Call purchase. This call had a Strike Price of US$ 30, which was below than the stock price of US$ 35.07, hence the inclined curve that crosses the current stock price.

The user profits from an increase in the stock price (so the green part of the curve is at right) and loses the amount he/she paid for the Call option if the stock price decreases (the horizontal red part of the curve). To purchase a call, select the "Tools-Purchase-Calls" menu and select from the list of calls that are available in the market. The options lists are compiled from the data that was loaded into the application.

Options strategies are combinations of operations with options. In this example, a long straddle was assembled from the purchase of one call and a put with the same underlying conditions (Strike Price and Expiration date). Calls and puts can also be dragged from the Options Chain table to the Operations table, as shown in the movie to the right.

As it can be seen on the graph, the "long straddle" is a strategy for the investor that is betting on stock volatility. If the stock price increases or decreases rapidly, then the investor will profit. Clicking on any part of the graph moves the vertical blue line that will indicate the profits or losses at a certain stock price. The small black circles in the graph represent the normal distribution that is produced with the stock volatility data.