MultiLegValidation Function to Check Trade Inputs

The MultiLegValidation function helps ensure that all required parameters for a multi-leg options trade are present before proceeding. By returning “Please check your inputs” if any mandatory fields are empty or missing, this function provides a quick, reliable safeguard against incomplete or incorrect entries. This validation is particularly useful for credit or debit trade types, which require an additional Price parameter, preventing costly errors or confusion during the trade setup in Excel.

Why Use This Function?

• Helps traders avoid incomplete orders by verifying required parameters.
• Eliminates guesswork: quickly alerts when crucial information is missing.
• Allows for streamlined multi-leg order entry, particularly in options trading scenarios.
• Supports credit/debit trades by validating the presence of the Price for those specific trade types.
• Avoids accidental blank cells or missing data through Excel-based checks.

How to Use in Excel

=MultiLegValidation(TradeType, Quantity, OrderSide, Price, Duration)

1. Select a cell in Excel where you want to display the validation result.
2. Type “=” followed by MultiLegValidation, and fill in the five parameters.
3. Press Enter to see if all inputs pass the validation.
   • If any parameters are empty (or missing), the function will return “Please check your inputs.”

Parameters Explained

Example Usage

Basic Examples

1. Credit Trade, All Inputs Present

   • Formula: =MultiLegValidation("credit",10,"buy",1.25,"day")
   • Explanation: Since TradeType is “credit”, Price is required. All parameters are non-empty, so the function does not return an error.

2. Debit Trade Missing Price

   • Formula: =MultiLegValidation("debit",10,"sell","", "day")
   • Explanation: “Price” is empty. Because it’s a “debit” trade, the required price is missing, so the function returns “Please check your inputs.”

3. Non-Credit/Debit Trade Without Price

   • Formula: =MultiLegValidation("market",5,"buy","","day")
   • Explanation: When TradeType is not “credit” or “debit,” Price is not strictly required. If all other parameters are present, the function will not return “Please check your inputs.”

Advanced Scenarios

1. Reference Cells for Multi-Leg Orders

   • Example: =MultiLegValidation(A2,B2,C2,D2,E2)
   • Explanation: Fill each cell with the correct parameter. If any cell is blank (especially for credit/debit trades requiring Price), you’ll see “Please check your inputs.”

2. Integration with Other Excel Functions

   • You might use IF or LOOKUP with MultiLegValidation to dynamically assign values.
   • For instance:
     =MultiLegValidation(IF(A1="Credit","credit","market"), B1, C1, D1, E1)

3. Multi-Leg Spreads or Complex Strategies

   • Even if you handle multiple legs separately, you can apply MultiLegValidation to each segment to ensure the required details are provided.
   • Example with short and long legs validated one by one, each requiring the correct info.

Common Questions and Troubleshooting

1. “Why do I only see ‘Please check your inputs’?”

   • Verify that all required parameters are filled. If TradeType is "credit" or "debit," ensure Price is not empty and the other parameters are valid.

2. “What happens if Quantity is 0?”

   • The function checks for empty parameters rather than numeric validity. If the cell for Quantity is empty, you’ll see the alert. (A quantity of zero may not always throw an error unless you literally have an empty cell.)

3. “Do I need to specify Price for every record?”

   • Only if TradeType is “credit” or “debit.” Otherwise, the function won’t require Price and won’t return the error if that parameter is blank.

By systematically checking for empty parameters, MultiLegValidation helps ensure you’re fully prepared for your multi-leg trades, reducing potential data-entry errors. It’s designed to be simple yet effective, particularly for credit and debit strategies where the Price entry is crucial. This approach fosters smoother workflows and better accuracy in real US market scenarios, all within Excel powered by MarketXLS.