Options/LQD

LQDiShares iBoxx $ Investment Grade Corporate Bond ETF

Options Analysis Report

AUM $31.1B|ARCX

● 2026-09-04$105.48

NEUTRAL

Analysis: 2026-09-03 EOD data

1Y -5.1%YTD -4.2%7D -0.8%

Options Vol

104,078

30D

Implied Move

±2.2%

IV Rank

LQD Options Overview

IV is low with bearish flow and unusual activity. Conditions favor option buyers.

REWARDS

RISK ANALYSIS

Snowflake Analysis

Favorable conditions for option buyers

Learn

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LQD Gamma Walls

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LQD Hedge Radar

Neutral

Full Hedge Radar

Neither score is at an extreme today. Neither axis is a forecast — this is where LQD sits on protection cost vs. fragility today.

Protection is priced in the cheap band (3.22) — implied vol sits in the 0th percentile of its own past year, and downside puts carry 2.0 IV points LESS than at-the-money, measured against this name's own rolling 20-trading-day realized moves (484 overlapping windows). Fragility reads neutral (5.12): it is trading 0% below its hedge wall on a wall graded HIGH for reliability, and its realized-vol regime is stable.

Protection cost

3.22/ 10cheap

Basis: cross_sectional

Fragility

5.12/ 10neutral

Basis: per_ticker

Value

Is IV priced right?

9.2

ExpensiveCheap

Measures whether options are cheap, fair, or rich relative to historical and peer

levels.

Risk Checks6/9 checks passed

IV Rank

≤35%

IV Rank 1.5% — cheap vs history

IV/HV Ratio

<1.05x

IV/HV 1.14x — IV premium over HV

Sector Relative≤50%

Sector percentile 3% — below sector median

Term Structure

<1.1x

Front/Back 1.11x — backwardation

Skew Normal

<1.25x

Put/Call IV 1.16x — elevated

Absolute IV

<80%

ATM IV 7.3% — normal range

Spread-Adjusted Value

<80%

Effective IV 12.8% (ATM 7.3% + spread 2.8% + bias) — excellent value

Execution Efficiency

<3.0%

Total drag 5.79% (spread 2.77% + slippage 3.02%) — high friction

Vega Efficiency

≥5.0

Vega efficiency 76.79 (vega 21.272 / spread 2.77%) — efficient

Sentiment

Bullish or bearish?

4.5

BearishBullish

Analyzes

put/call ratios

open interest skew

, and flow direction to determine market bias.

Risk ChecksBullish - Strong signal (Conviction: +28%, Raw: +27%)

Flow Direction

|net sentiment| ≥25%

Conviction-weighted: +28% (bullish) — Raw: +27%

OI Skew Magnitude

≥15%

|OI skew| 25.3% — put-heavy

Volume-OI Alignment

Same sign, |vol skew| ≥10%

Vol skew -55.5%, OI skew -25.3% — aligned

Conviction Quality

≥2/3 conditions

0-DTE 3%, far-OTM 15%, avg DTE 30

OI Momentum

|change| ≥3%

OI change +0.0% (5d) — stable

Smart Money Flow

|weighted flow| ≥20%

ITM: +14%, ATM: +44%, OTM: -60% — strong bullish (ITM/ATM aligned)

Sector Relative≤40% or ≥60%

Sector P/C percentile 96% — very bearish vs sector

Activity

Unusual activity?

4.7

QuietActive

Detects volume surges,

block trades

, and unusual options activity that may signal moves.

Risk Checks2/8 checks passed

Volume Surge

≥1.5x

Volume 1.1x avg — normal

Turnover Rate

≥15%

Vol/OI 4.7% — normal turnover

Multi-Day Persistence

≥2 days

1 day(s) elevated — may be one-day event

OI Build

≥5%

OI change -2.8% (5d) — unwinding

Sector Relative≥60%

Sector activity percentile 66% — active vs sector

Trade Quality

≥30%

Large trade volume 93% — heavy institutional

Execution Urgency

≥60%

Aggressive execution 30% — patient

Flow Conviction

≥30

Conviction +28 (bullish) — mixed

Liquidity

Can I trade efficiently?

7.8

IlliquidLiquid

Evaluates

bid-ask spreads

, volume depth, and open interest for trade execution quality.

Risk Checks7/8 checks passed

Tradeable Spread

≤5.0%

Spread 2.8% — acceptable

Adequate OI

≥10,000

OI 2,239,301 — deep

Active Volume

≥500

Volume 104,078/day — active

Reasonable Cost

≤$0.50

$0.14 to cross — cheap

Strike Coverage

≥5 strikes

6 liquid strikes — good coverage

Sector Relative≤40%

Sector spread percentile 25% — tighter than sector

Order Book Depth

≥100 contracts

Depth 171.60000000000002 contracts (bid:110.9 ask:60.7) — adequate

Execution Quality

<1.0%

Avg slippage 3.02% — poor

Timing

Is now a good time?

7.3

RiskyFavorable

Considers earnings proximity,

time decay

, and event calendar for optimal entry timing.

Risk Checks8/9 checks passed

Term Structure Clarity

|slope| ≥5%

Slope +11.3% — backwardation

IV Percentile Clarity

<30 or >70

IV percentile 2% — buyer opportunity

Event Detection

≥10pts kink

IV kink 0.8pts — no clear event

Theta/Vega Clarity

<0.5 or >2.0

θ/ν ratio 3605.46 — favors income trades

Expiration Distribution

≥3 expirations

5 liquid expirations — flexible

Event Risk

≥60% (safe)

safe window: No earnings detected

Spread Momentum

<1.2 ratio

Spread ratio 1.00x — stable

Flow Momentum

≥25% strength + ≥50% consistency

Flow +28% @ 64% consistency — moderate (bullish)

Smart Money Timing

≥40 composite score

Score 123 (ITM 20% + inst 93%) — HIGH institutional

Directional Strategy Fit

Option Buyers

Long Calls7.1

bullishIV cheap, mixed flow

Long Puts7.4

bearishIV cheap, mixed flow

Premium Sellers

Cash-Secured Put4.5

bullishIV too cheap, mixed flow

Covered Call4.8

bearishIV too cheap, mixed flow

For educational purposes only. Not investment advice.

The Options Desk tracks the move options price into every US earnings report the week of Sep 7, next to how much each stock has actually moved on its past prints — plus the SPY, QQQ and IWM expected ranges and the gamma walls that box them in.

More on LQD

LQD gamma walls LQD max pain LQD IV rank LQD put/call ratio LQD options flow