IV is low with bullish flow. Conditions favor option buyers.
Is IV priced right?
Measures whether options are cheap, fair, or rich relative to historical and peer
IV Rank 9.4% — cheap vs history
IV/HV 0.96x — IV ≤ HV
Sector percentile 14% — below sector median
Front/Back 0.86x — contango
Put/Call IV 1.16x — elevated
ATM IV 22.6% — normal range
Effective IV 44.4% (ATM 22.6% + spread 10.9% + bias) — excellent value
Total drag 15.50% (spread 10.88% + slippage 4.62%) — high friction
Vega efficiency 129.00 (vega 140.347 / spread 10.88%) — efficient
Bullish or bearish?
Analyzes
Conviction-weighted: -11% (bearish) — Raw: -9%
|OI skew| 40.3% — call-heavy
Vol skew +40.2%, OI skew +40.3% — aligned
0-DTE 38%, far-OTM 15%, avg DTE 30
OI change +0.0% (5d) — stable
ITM: -32%, ATM: +10%, OTM: -22% — bearish (ITM/ATM divergent)
Sector P/C percentile 21% — very bullish vs sector
Unusual activity?
Detects volume surges,
Volume 0.8x avg — normal
Vol/OI 5.2% — normal turnover
Top 3 strikes = 50% — dispersed
1 day(s) elevated — may be one-day event
OI change +0.3% (5d) — stable
Sector activity percentile 64% — active vs sector
Large trade volume 0% — mostly retail
Aggressive execution 29% — patient
Conviction -11 (bearish) — mixed
Can I trade efficiently?
Evaluates
Spread 10.9% — wide
OI 30,604 — adequate
Volume 1,594/day — adequate
$0.54 to cross — expensive
0 liquid strikes — limited options
Sector spread percentile 29% — tighter than sector
Depth 250.89999999999998 contracts (bid:134.2 ask:116.7) — adequate
Avg slippage 4.62% — poor
Is now a good time?
Considers earnings proximity,
Slope -13.7% — contango
IV percentile 9% — buyer opportunity
IV kink -1.7pts — no clear event
θ/ν ratio 4091.75 — favors income trades
3 liquid expirations — flexible
safe window: No earnings detected
Spread ratio 1.00x — stable
Flow -11% @ 55% consistency — unclear
Score 30 (ITM 20% + inst 0%) — retail dominated
For educational purposes only. Not investment advice.