Options Trading Bot

Black-Scholes pricing, full Greeks, an implied-volatility solver, and battle-tested multi-leg strategies — pure-Python, zero heavy deps.
Price options, recover implied vol from market quotes, build spreads / condors / butterflies, and export plot-ready payoff curves.

Built and maintained by Viprasol Tech — Fintech Experts. Full-Stack Builders.

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⚠️ Disclaimer

This software is for educational purposes only and is not financial advice. Options trading involves substantial risk, including the total loss of capital and, for some strategies (e.g. short/naked legs), theoretically unlimited loss. Model prices are theoretical Black-Scholes values that ignore real-world frictions — slippage, early exercise, dividends, liquidity, and assignment risk. Always test thoroughly with your own data and consult a licensed advisor before trading. Use at your own risk — Viprasol Tech assumes no responsibility for your trading results.

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✨ Features

• 🧮 Black-Scholes pricing — European calls and puts using only math from the standard library (no scipy/numpy required for the core).
• 📐 Full Greeks — delta, gamma, vega, theta, and rho in one call.
• 🔎 Implied-volatility solver — Newton-Raphson driven by closed-form vega, with a guaranteed bisection fallback for deep ITM/OTM options and bad initial guesses. Raises a clear IVError on arbitrage-violating inputs.
• 🪜 Multi-leg strategy engine — a composable OptionLeg primitive and a Strategy class with payoff, net debit/credit, break-evens, max profit/loss, and quantity-weighted position Greeks.
• 🎯 Ready-made strategies — bull call / bear put (debit) & bull put / bear call (credit) verticals, iron condor, long call butterfly, and long strangle.
• 📊 Payoff exporter — write any strategy's payoff curve to CSV or JSON for matplotlib, Excel, or a web chart — no plotting dependency baked in.
• 🖥️ Rich CLI — price, iv, strategy, export, and covered-call subcommands with formatted tables.
• ✅ Verifiable — 47 tests asserting put-call parity, IV round-trips, payoff shapes, and exporter output.
• ⚙️ Modern tooling — ruff, mypy (strict), pytest, GitHub Actions CI.

🚀 Quickstart

git clone https://github.com/Viprasol-Tech/options-trading-bot.git
cd options-trading-bot
python -m pip install -e ".[dev]"

# Price an ATM 30-day call and show its Greeks
options-trading-bot price --spot 100 --strike 100 --days 30 --vol 0.2

# Recover implied volatility from a market price
options-trading-bot iv 2.50 --spot 100 --strike 100 --days 30

# Analyse an iron condor: payoff, break-evens, risk, position Greeks
options-trading-bot strategy iron-condor

# Export a butterfly payoff curve to JSON for plotting
options-trading-bot export butterfly --out payoff.json

🧩 Usage in code

from options_trading_bot import (
    OptionType, price, greeks, implied_volatility, iron_condor,
)
from options_trading_bot.export import export_payoff

# 1) Price + Greeks
p = price(spot=100, strike=105, t=0.25, r=0.05, vol=0.2, option=OptionType.CALL)
g = greeks(spot=100, strike=105, t=0.25, r=0.05, vol=0.2, option=OptionType.CALL)
print(f"price={p:.4f}  delta={g.delta:.4f}  vega={g.vega:.4f}")

# 2) Recover implied volatility from a market quote (round-trips to ~0.20)
iv = implied_volatility(p, spot=100, strike=105, t=0.25, r=0.05, option=OptionType.CALL)
print(f"implied vol = {iv:.4%}")

# 3) Build and analyse an iron condor
condor = iron_condor(90, 95, 105, 110, premiums=(1.0, 2.5, 2.5, 1.0))
print(condor.net_premium())            # +3.0 -> net credit
print(condor.break_evens(70, 130))     # [92.0, 108.0]
print(condor.max_profit(70, 130), condor.max_loss(70, 130))  # 3.0, -2.0
print(condor.position_greeks(spot=100, t=0.08, r=0.05, vol=0.2).delta)

# 4) Export the payoff curve for plotting
export_payoff(condor, "condor.csv", low=80, high=120, steps=41)

A full walkthrough lives in examples/quickstart.py.

🏗️ Architecture

flowchart TD
    INPUTS["Inputs: S, K, T, r, vol"] --> BSM["bsm: Black-Scholes core"]
    BSM --> PRICE["price()"]
    BSM --> GREEKS["greeks(): delta gamma vega theta rho"]
    MKT["Market price"] --> IV["iv: Newton + bisection solver"]
    BSM --> IV
    IV --> VOL["implied volatility"]
    PRICE --> LEG["payoff: OptionLeg primitive"]
    LEG --> STRAT["strategies: spreads / condor / butterfly / strangle"]
    GREEKS --> STRAT
    STRAT --> ANALYTICS["payoff, break-evens, max P/L, position Greeks"]
    STRAT --> EXPORT["export: CSV / JSON payoff curves"]
    ANALYTICS --> CLI["Typer + Rich CLI"]
    EXPORT --> CLI

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📚 API & CLI at a glance

Area	Function / Command	What it does
Pricing	price(S, K, t, r, vol, option)	Black-Scholes price of a European call/put
Greeks	greeks(...) -> Greeks	delta, gamma, vega, theta, rho
Implied vol	implied_volatility(mkt, S, K, t, r, option)	Newton-Raphson + bisection IV solver
Strategy	bull_call_spread, iron_condor, long_call_butterfly, …	Build named multi-leg Strategy objects
Analytics	Strategy.break_evens / max_profit / position_greeks	Risk/reward and aggregate Greeks
Export	export_payoff(strategy, path, low, high, steps)	Write payoff curve to CSV/JSON
CLI	price, iv, strategy, export, covered-call	Same capabilities from the terminal

🗺️ Roadmap

• Black-Scholes pricing + full Greeks
• Implied-volatility solver (Newton + bisection)
• Vertical spreads, iron condor, butterfly, strangle with payoff + Greeks
• Payoff-curve exporter (CSV / JSON)
• CLI subcommands (price, iv, strategy, export)
• American-option pricing (binomial / trinomial trees)
• Dividend yield (q) and forward pricing
• Live options-chain data adapters
• Volatility-surface fitting

❓ FAQ

Does this place real trades? No. It is a pricing, analytics, and strategy-modelling library — there is no broker connectivity. It is built for research and education.

Why no scipy/numpy in the core? The pricing, Greeks, and IV solver use only the standard library so the core is tiny and dependency-light. pydantic, typer, and rich power config and the CLI.

How does the IV solver stay robust? It starts with Newton-Raphson (using closed-form vega) and falls back to bisection whenever vega is too small or a step leaves the bounds — guaranteeing convergence because price is monotone in volatility.

Are these European or American options? European. American-style pricing is on the roadmap.

🤝 Contributing

PRs welcome — see CONTRIBUTING.md and our Code of Conduct. Before opening a PR, run ruff check . && ruff format . && mypy src && pytest.

Contact — Viprasol Tech Private Limited

• Website: viprasol.com
• Email: support@viprasol.com
• Telegram: t.me/viprasol_help | WhatsApp: +91 96336 52112
• GitHub: @Viprasol-Tech | LinkedIn | X @viprasol

License

MIT (c) 2025 Viprasol Tech Private Limited