TeleChart2005 does not track Insider or Institutional trading. It does have two conditions that deal with Insiders and Institutions:

Percent Shares Held by Insiders

and

Percent Shares Held by Institutions.

You can sort or scan by either or both conditions.

As someone who trades options, I'd say if you are only looking to buy puts or calls, use TC2005 to search for stocks that look strong/weak technically and/or fundamentally, then buy an in the money option. I would personally buy longer term (ie. 3+ months), as I trade the longer trends. But for a swing trade, you could use a closer contract (ie 2 months or less).

In the money options are more highly correlated with the stock than at the money or out of the money options. You have a better chance of making money if your analysis is correct, and you still have some leverage.

Of course, you should have an option model calculator to tell you if an option is over or underpriced. Even if you plan on buying ITM puts or calls, then a calculator is a must.

I think the Options council produces one that you can get for free, that provides risk graphs and all. Of course, you have to type in the data in order to get any output.

As for setups, I'd check for stocks with the highest/lowest % gain for 3 months, and a nice looking trend (eg. check out BDY for a good downtrend.)

To find that, I search for a Rate of Change of a moving average using a PCF:

(AVGC50 / AVGC50.25 ) * 100

This shows you the direction of the 50 day moving average. Numbers above 105 are bullish, below 95 are bearish, and in between are neutral.