IV is elevated with bullish flow and unusual activity. Conditions favor premium sellers.
Is IV priced right?
Measures whether options are cheap, fair, or rich relative to historical and peer
IV Rank 74.1% — elevated vs history
IV/HV 1.06x — IV premium over HV
Sector percentile 82% — above sector median
Front/Back 0.88x — contango
Put/Call IV 1.16x — elevated
ATM IV 62.5% — normal range
Effective IV 79.1% (ATM 62.5% + spread 8.3% + bias) — fair
Total drag 14.13% (spread 8.32% + slippage 5.81%) — high friction
Vega efficiency 5.41 (vega 4.503 / spread 8.32%) — acceptable
Bullish or bearish?
Analyzes
Conviction-weighted: -27% (bearish) — Raw: -35%
|OI skew| 66.8% — call-heavy
Vol skew +83.9%, OI skew +66.8% — aligned
0-DTE 16%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: +24%, ATM: -59%, OTM: -42% — neutral (ITM/ATM divergent)
Sector P/C percentile 8% — very bullish vs sector
Unusual activity?
Detects volume surges,
Volume 0.8x avg — normal
Vol/OI 3.7% — normal turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change +2.0% (5d) — building
Sector activity percentile 56% — neutral vs sector
Large trade volume 33% — institutional presence
Aggressive execution 38% — patient
Conviction -27 (bearish) — mixed
Can I trade efficiently?
Evaluates
Spread 8.3% — wide
OI 834,971 — deep
Volume 30,595/day — active
$0.42 to cross — cheap
0 liquid strikes — limited options
Sector spread percentile 85% — much wider than sector
Depth 740.3 contracts (bid:283.2 ask:457.1) — deep
Avg slippage 5.81% — poor
Is now a good time?
Considers earnings proximity,
Slope -11.9% — contango
IV percentile 74% — seller opportunity
IV kink -4.8pts — no clear event
θ/ν ratio 134.40 — favors income trades
5 liquid expirations — flexible
safe window: No earnings detected
Spread ratio 1.00x — stable
Flow -27% @ 63% consistency — moderate (bearish)
Score 63 (ITM 20% + inst 33%) — HIGH institutional
For educational purposes only. Not investment advice.