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 22.8% — cheap vs history
IV/HV 2.36x — IV premium over HV
Sector percentile 39% — below sector median
Front/Back 2.20x — backwardation
Put/Call IV 1.16x — elevated
ATM IV 25.3% — normal range
Effective IV 27.9% (ATM 25.3% + spread 1.3% + bias) — excellent value
Total drag 2.33% (spread 1.30% + slippage 1.03%) — acceptable
Vega efficiency 0.00 (vega 0.000 / spread 1.30%) — spread drag
Bullish or bearish?
Analyzes
Conviction-weighted: +2% (neutral) — Raw: +2%
|OI skew| 33.3% — put-heavy
Vol skew -15.8%, OI skew -33.3% — aligned
0-DTE 58%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: +11%, ATM: +2%, OTM: +3% — neutral (ITM/ATM aligned)
Sector P/C percentile 90% — very bearish vs sector
Unusual activity?
Detects volume surges,
Volume 1.0x avg — normal
Vol/OI 72.9% — high turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change +3.8% (5d) — building
Sector activity percentile 98% — very active vs sector
Large trade volume 26% — mixed
Aggressive execution 77% — urgent
Conviction +2 (bullish) — mixed
Can I trade efficiently?
Evaluates
Spread 1.3% — tight
OI 17,686,246 — deep
Volume 12,898,059/day — active
$0.07 to cross — cheap
53 liquid strikes — good coverage
Sector spread percentile 54% — neutral vs sector
Depth 570.0 contracts (bid:285.4 ask:284.6) — deep
Avg slippage 1.03% — fair
Is now a good time?
Considers earnings proximity,
Slope +120.5% — backwardation
IV percentile 23% — buyer opportunity
IV kink 18.5pts — event priced
θ/ν ratio 1.00 — favors mixed
5 liquid expirations — flexible
safe window: No earnings detected
Spread ratio 1.00x — stable
Flow +2% @ 51% consistency — unclear
Score 56 (ITM 20% + inst 26%) — moderate institutional
For educational purposes only. Not investment advice.