Understanding the Chainless Trading Interface

Understanding the Chainless Trading Interface

Chainless provides a clean, efficient trading interface designed specifically for Interactive Brokers options trading. This guide walks you through every section and feature.

Interface Overview

Chainless is organized into two main sections:
- Configuration - Connection and settings
- Trading - Complete trading workflow with three subsections:
- Buy To Open - Opening new positions
- Sell to Close - Closing existing positions
- Orders - Managing active orders

Let's explore each section in detail.

Configuration Section

The Configuration section controls license verification, connection settings, and data management.

License Settings

License Verification:
- Email: Your license email address
- License Key: Your license key from purchase
- Verify and Save License: Button to activate/verify your license
- License Status: Displays current license status and expiration date

Connection Settings

IBKR Connection:
- Host: Usually 127.0.0.1 (localhost)
- Port:
7497 (TWS paper) / 7496 (TWS live)
4002 (Gateway paper) / 4001 (Gateway live)
- Client ID: Unique identifier (1-999)

Connection Controls:
- Save Settings: Save your connection configuration
- Connect: Establish connection to Interactive Brokers
- Connection Status: Shows "Disconnected" or "Connected" at bottom right

Data Management

Clear Saved Data:
- Red "Clear Saved Data" button removes saved settings and data
- Use with caution as this will reset your configuration

Trading Section

The Trading section contains your complete trading workflow with three integrated subsections.

Buy To Open - Opening New Positions

The Buy To Open section is where you research and open new options positions.

Adding a Symbol

  1. Enter Contract: Type any stock or index symbol in the "Enter Contract:" field (e.g., "AAPL", "SPY", "QQQ")
  2. Add Symbol: Click the "Add" button or simply press return/Enter
  3. Symbol Appears: The symbol is added to your watchlist table below

Stock vs Index Selection

Stock Options (Default):
- When adding a symbol, the "Type:" dropdown is set to "Stock" by default
- Most equity symbols use stock options behavior

Index Options:
- Manual Selection Required: When adding an index symbol (SPX, NDX, RUT), you must manually select "Index" from the "Type:" dropdown
- Index options have different settlement and exercise characteristics
- Important: The system doesn't auto-detect index symbols - you must select "Index" manually

Choosing Calls and Puts

You can select call or put options in two ways:

Before Adding Symbol:
- Use the "Call/Put:" dropdown at the top of the interface
- Select "C" for calls or "P" for puts
- This sets the default for when you add the symbol

After Adding Symbol:
- Each symbol row has its own call/put dropdown in the "Call/Put ▼" column
- Switch between "C" (calls) and "P" (puts) for each symbol individually
- The options chain updates instantly when you change the selection

Flexibility:
- You can have different symbols showing calls while others show puts
- Each symbol maintains its own call/put selection independently
- No need to remove and re-add symbols to switch between calls and puts

ITM/ATM/OTM Display Options

Control which options are visible using the checkboxes:
- Show ITM: Display in-the-money options
- Show ATM: Display at-the-money options
- Show OTM: Display out-of-the-money options

You can check/uncheck any combination to focus on the options you want to see.

Strike Population with "Strike At"

The "Strike At" feature helps you quickly find relevant strikes:

Manual Entry:
- Enter a specific price in the "Strike Price" column for any symbol
- Press Enter or click outside the field
- Options chain populates around your specified price

Default Behavior:
- When first adding a symbol, you need to set the "Strike Price" to populate the options chain

Managing Your Symbol List

  • Clear All Symbols: Use the "Clear All Symbols" button to remove all symbols from your watchlist
  • Remove Individual Symbols: Click the "X" in the first column for any symbol you want to remove

Placing Orders

Order Quantity:
1. Set Quantity: Enter quantity in the "Quantity" column for the symbol you want to trade
2. Default: Usually starts at 1 contract

Order Execution:
1. Order Type Selection: Choose your order type from the "Order ▼" dropdown for that symbol:
- MKT (Market): Executes immediately at market price
- MID: Uses mid-point between bid/ask
2. Strike Selection: Click any strike price button in the ITM Strike, ATM Strike, or OTM Strike columns
3. Order Placed: Order is sent directly to Interactive Brokers immediately

Important: You must select MKT or MID from the "Order ▼" dropdown BEFORE clicking the strike price. The order executes immediately when you click the strike.

Reading the Options Chain

Information Displayed:
- Strike Prices: Clickable buttons in ITM Strike, ATM Strike, OTM Strike columns
- Bid/Ask: Current market prices for each option type
- Spreads: ITM Spread, ATM Spread, OTM Spread columns show bid-ask spreads

Sell to Close - Closing Positions

The Sell to Close section shows your current options positions and allows position management.

Viewing Current Positions

Position Display:
- All open options positions appear automatically
- Shows Symbol, Strike, Right (C/P), Position size, P&L, and more
- Real-time updates during market hours
- Note: "Only Options positions are added here"

Position Information:
- Symbol: The underlying symbol
- Strike: Strike price of the option
- Call/Put: C (Call) or P (Put)
- MKT Value: Current market value
- Position: Number of contracts held
- Avg Cost: Your average cost basis
- Unrealized PnL: Current unrealized profit/loss
- PNL: Total profit/loss

Position Display Options

Hide Closed Positions:
- Check the "Hide Closed Positions" box to hide positions that have been closed
- Uncheck to see all positions including closed ones

Closing Full Positions

  1. Locate Position: Find the position you want to close in the STC section
  2. Close Position Button: Click the "Close (Mkt)" button next to the position
  3. Immediate Execution: Full position is closed at market price instantly

Closing Partial Positions

  1. Set Quantity: Enter the number of contracts to close in the "Qty" column for that position
  2. Sell Quantity Button: Click the "Sell Quantity" button
  3. Partial Close: Only the specified quantity is closed at market price
  4. Remaining Position: The remaining contracts stay open

Position Management Tips

Quick Actions:
- Full Close: Click "Close (Mkt)" for immediate complete exit
- Partial Close: Enter quantity in Qty column, then click "Sell Quantity"
- All Sells are Market Orders: No MID option for closing positions - immediate market execution

Monitoring:
- Real-time Updates: P&L updates continuously during market hours
- Position Sorting: Positions organized by symbol and expiration

Risk Management Features

TP/SL Configuration:
- ⚙️ TP/SL Button: Click the gear icon in any position row to configure Take Profit and Stop Loss
- Automatic Suggestions: System suggests TP/SL levels based on option type and underlying price
- Custom Configuration: Set your own TP/SL prices, quantities, and order types
- Real-time Monitoring: TP/SL levels are displayed in the position table

TP/SL Display:
- Take Profit Column: Shows your Take Profit trigger level
- Stop Loss Column: Shows your Stop Loss trigger level
- Underlying Column: Current underlying stock price for reference

Orders - Managing Active Orders

The Orders section displays all active orders placed through Chainless.

Order Information:
- Order ID: Unique identifier for each order
- Symbol & Strike: Contract details
- Action: BUY or SELL
- Quantity: Number of contracts
- Order Type: MKT, LMT, etc.
- Status: Pending, Filled, Cancelled, etc.
- Fill Information: Filled quantity, remaining, average fill price

Order Management:
- Cancel Individual Orders: Click "Cancel Order" button for specific orders
- Cancel All Orders: Use "Cancel All Orders" button to cancel all pending orders
- Real-time Updates: Order status updates automatically
- Rule Information: Shows TP/SL trigger information for risk management orders

Important Notes:
- Shows application-placed orders only
- Cancelled orders are automatically removed
- Orders placed using TWS are not shown here

Tips for Efficient Trading

Quick Workflow

  1. Configure connection in Configuration tab
  2. Add symbols using "Enter Contract" field in Buy To Open section
  3. Set "Strike Price" and press Enter to populate options chain
  4. Choose ITM/ATM/OTM display options as needed
  5. Switch between calls/puts using the "Call/Put ▼" column dropdowns
  6. Choose order type (MKT/MID) from "Order ▼" dropdown for each symbol
  7. Set quantity in "Quantity" column
  8. Click strike prices to place orders instantly
  9. Monitor positions in Sell to Close section
  10. Set TP/SL using the gear icon for risk management
  11. Track orders in Orders section

Best Practices

  • Set order type first: Always select MKT or MID in "Order ▼" before clicking strikes
  • Use quantity field: Set the quantity for each symbol before trading
  • Monitor spreads: Use the spread columns to assess market liquidity
  • Use Clear All Symbols: Clean up your watchlist when starting fresh
  • Hide closed positions: Keep Sell to Close section focused on active positions
  • Set TP/SL immediately: Configure risk management as soon as you open a position
  • Use suggested levels: Start with system-suggested TP/SL levels, then adjust as needed
  • Monitor underlying prices: Keep an eye on the underlying column for TP/SL context

Position Management Efficiency

  • Quick full exits: "Close (Mkt)" for immediate complete closure
  • Partial management: Set qty in "Qty" column first, then "Sell Quantity"
  • All position closes are market orders: No price negotiation on exits
  • Monitor P&L continuously: Real-time updates help with timing decisions
  • Automated risk management: TP/SL orders execute automatically when triggered
  • Manual overrides: You can still manually close positions even with active TP/SL rules
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