IV is low with unusual activity. No clear edge detected.
Is IV priced right?
Measures whether options are cheap, fair, or rich relative to historical and peer
IV Rank 28.4% — cheap vs history
IV/HV 1.07x — IV premium over HV
Sector percentile 44% — below sector median
Front/Back 1.13x — backwardation
Put/Call IV 1.16x — elevated
ATM IV 28.7% — normal range
Effective IV 31.7% (ATM 28.7% + spread 1.5% + bias) — excellent value
Total drag 2.67% (spread 1.52% + slippage 1.15%) — acceptable
Vega efficiency 525.19 (vega 79.829 / spread 1.52%) — efficient
Bullish or bearish?
Analyzes
Conviction-weighted: +2% (neutral) — Raw: +3%
|OI skew| 20.0% — put-heavy
Vol skew -2.8%, OI skew -20.0% — weak (same direction)
0-DTE 48%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: +20%, ATM: +0%, OTM: +6% — bullish (ITM/ATM aligned)
Sector P/C percentile 88% — very bearish vs sector
Unusual activity?
Detects volume surges,
Volume 1.3x avg — normal
Vol/OI 77.9% — high turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change +8.4% (5d) — building
Sector activity percentile 99% — very active vs sector
Large trade volume 18% — mixed
Aggressive execution 79% — urgent
Conviction +2 (bullish) — mixed
Can I trade efficiently?
Evaluates
Spread 1.5% — tight
OI 12,964,422 — deep
Volume 10,099,078/day — active
$0.08 to cross — cheap
57 liquid strikes — good coverage
Sector spread percentile 52% — neutral vs sector
Depth 107.4 contracts (bid:53.3 ask:54.1) — adequate
Avg slippage 1.15% — fair
Is now a good time?
Considers earnings proximity,
Slope +13.2% — backwardation
IV percentile 28% — buyer opportunity
IV kink 2.9pts — no clear event
θ/ν ratio 200.58 — favors income trades
5 liquid expirations — flexible
acceptable: No earnings detected; FOMC in 5d
Spread ratio 1.00x — stable
Flow +2% @ 51% consistency — unclear
Score 48 (ITM 20% + inst 18%) — moderate institutional
For educational purposes only. Not investment advice.