IV is low. Conditions favor option buyers.
Is IV priced right?
Measures whether options are cheap, fair, or rich relative to historical and peer
IV Rank 5.1% — cheap vs history
IV/HV 0.87x — IV ≤ HV
Sector percentile 8% — below sector median
Front/Back 0.79x — contango
Put/Call IV 1.16x — elevated
ATM IV 19.4% — normal range
Effective IV 32.7% (ATM 19.4% + spread 6.6% + bias) — excellent value
Total drag 11.90% (spread 6.64% + slippage 5.26%) — high friction
Vega efficiency 0.00 (vega 0.000 / spread 6.64%) — spread drag
Bullish or bearish?
Analyzes
Conviction-weighted: -11% (bearish) — Raw: -12%
|OI skew| 19.9% — put-heavy
Vol skew -67.1%, OI skew -19.9% — aligned
0-DTE 15%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: +26%, ATM: +34%, OTM: -66% — strong bullish (ITM/ATM aligned)
Sector P/C percentile 96% — very bearish vs sector
Unusual activity?
Detects volume surges,
Volume 0.3x avg — normal
Vol/OI 0.7% — normal turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change -0.3% (5d) — stable
Sector activity percentile 15% — quiet vs sector
Large trade volume 0% — mostly retail
Aggressive execution 48% — patient
Conviction -11 (bearish) — mixed
Can I trade efficiently?
Evaluates
Spread 6.6% — wide
OI 34,150 — adequate
Volume 231/day — thin
$0.33 to cross — cheap
0 liquid strikes — limited options
Sector spread percentile 24% — tighter than sector
Depth 276.8 contracts (bid:99.8 ask:177.0) — adequate
Avg slippage 5.26% — poor
Is now a good time?
Considers earnings proximity,
Slope -20.6% — contango
IV percentile 5% — buyer opportunity
IV kink -4.6pts — no clear event
θ/ν ratio 1.00 — favors mixed
3 liquid expirations — flexible
safe window: No earnings detected
Spread ratio 1.00x — stable
Flow -11% @ 55% consistency — unclear
Score 30 (ITM 20% + inst 0%) — retail dominated
For educational purposes only. Not investment advice.