IV is low with bearish flow. Conditions favor option buyers.
Is IV priced right?
Measures whether options are cheap, fair, or rich relative to historical and peer
IV Rank 9.7% — cheap vs history
IV/HV 1.03x — IV ≤ HV
Sector percentile 15% — below sector median
Front/Back 0.97x — contango
Put/Call IV 1.16x — elevated
ATM IV 22.9% — normal range
Effective IV 93.5% (ATM 22.9% + spread 35.3% + bias) — expensive
Total drag 52.94% (spread 35.29% + slippage 17.65%) — high friction
Vega efficiency 8.41 (vega 29.678 / spread 35.29%) — efficient
Bullish or bearish?
Analyzes
Conviction-weighted: -100% (strong bearish) — Raw: -100%
|OI skew| 67.4% — call-heavy
Vol skew -100.0%, OI skew +67.4% — divergent (opposite)
0-DTE 50%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: +0%, ATM: -100%, OTM: +0% — strong bearish (ITM/ATM divergent)
Sector P/C percentile 32% — bullish vs sector
Unusual activity?
Detects volume surges,
Volume 0.1x avg — normal
Vol/OI 3.1% — normal turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change +19.4% (5d) — building
Sector activity percentile 49% — neutral vs sector
Large trade volume 0% — mostly retail
Aggressive execution 100% — highly urgent
Conviction -100 (bearish) — strong conviction
Can I trade efficiently?
Evaluates
Spread 35.3% — wide
OI 129 — thin
Volume 4/day — thin
$1.76 to cross — expensive
0 liquid strikes — limited options
Sector spread percentile 29% — tighter than sector
Depth 4.0 contracts (bid:2.0 ask:2.0) — thin
Avg slippage 17.65% — poor
Is now a good time?
Considers earnings proximity,
Slope -3.1% — flat/unclear
IV percentile 10% — buyer opportunity
IV kink -0.1pts — no clear event
θ/ν ratio 1336.84 — favors income trades
3 liquid expirations — flexible
safe window: No earnings detected
Spread ratio 1.00x — stable
Flow -100% @ 100% consistency — STRONG directional (bearish)
Score 30 (ITM 20% + inst 0%) — retail dominated
For educational purposes only. Not investment advice.