I have developed a c#/sql system and web-site (www.my-market-positions.com) whereby im getting the USA options downloaded for a few tickers every night (attached file) via yahoo and calculating greeks/black-scholes pricing. Then what I'm trying to see if there are any miss priced options, with low volatility, at the money and buying $1 to $2 strikes away. Alternatively selling high volatility over priced options and collect premium. Now sometimes this works and sometimes not, as technical indicators help a bit but not 100%.
What kind of entry signals do options traders look out for and when to exit options? Is the data sheet I got worth developing a system on or is this another throw the dice game?