Most traders react to volatility — be the one who sees it coming. Uncover how to track critical strikes and expiries that shape market moves and position yourself before the crowd.
What you’ll learn:
Introduction to Volatility Dashboard & Its Importance (00:00:05 – 00:02:43)
The session highlights the critical role volatility plays in options trading, emphasizing its accessibility compared to gamma or hedging concepts, while previewing key tools and real-world trade examples.
Understanding Implied Volatility Basics and Market Maker Perspective (00:04:01 – 00:08:34)
Implied volatility (IV) reflects market demand and supply dynamics rather than a fixed formula; traders can back out IV using option prices, strike, expiry, and underlying price, representing expected magnitude of stock moves annually.
Key Components: Fixed Strike Matrix, Term Structure & Volatility Skew (00:10:58 – 00:27:39)
The fixed strike matrix displays IV across strikes and expiries, term structure reveals IV variations over time, and volatility skew shows how IV differs between puts and calls, crucial for identifying trade setups and interpreting market sentiment.
Using the Dashboard for Earnings and Calendar Spread Strategies (00:28:07 – 00:32:54)
Earnings cycles cause IV peaks near expiry; calendar spreads can capitalize on this by buying longer-dated monthly options and selling shorter weekly options, benefiting from volatility decay and liquidity advantages.
Iron Condor and Volatility Rank Insights for Range-Bound Trades (00:33:14 – 00:37:55)
Iron condors thrive in high IV regimes expecting mean reversion; the SpotGamma scanner identifies cheap or expensive volatility environments, helping traders deploy neutral trades with statistically favorable risk/reward profiles.
Practical Dashboard Features: Z-Scores, SKU Premium, and Real-Time Volatility Dynamics (00:38:25 – 00:46:38)
Z-scores quantify volatility deviations, while SKU premium highlights demand for out-of-the-money options. Real-time market events like earnings and CPI cause shifts in IV and skew, which traders can monitor to spot mispricings and adjust strategies.
