IV Skew
PROVolatility & Skew · HTTP Data · Pro Tier
Overview
IV Skew visualizes the implied volatility differential between puts and calls at each strike price. The skew reveals how the options market prices tail risk: a steep negative skew means puts (downside protection) are priced significantly higher than calls, indicating fear. A flat or positive skew can signal complacency or upside demand.
The window offers two display modes — absolute IV skew (put IV minus call IV) and IV skew ratio — across 7 chart types, making it a flexible tool for volatility surface analysis.
Key Features
- Dual skew modes: Absolute skew (Put IV − Call IV per strike) and ratio mode (Put IV / Call IV). The absolute view shows raw differential; the ratio normalizes for cross-ticker comparison.
- 7 chart types: Bar, Line, Area, Scatter, Step, Bubble, and Heatmap. Line mode is ideal for visualizing the skew curve; heatmap reveals IV intensity across strikes.
- ATM range filter: Focus on near-money skew (most liquid) or widen to see the full smile/smirk structure including far OTM wings.
- Theme selector: Full premium theme library with color picker dropdown for customizing the skew visualization.
- Toggle switches: Show/hide individual series and overlays to isolate the exact skew signal you need.
- Guide Panel: Educational overlay with sections on IV skew concepts, how to interpret steepness, and practical trading applications.
How to Read the Chart
| Pattern | Interpretation |
|---|---|
| Steep negative skew (puts > calls) | Market is pricing significant downside risk. Put protection is expensive. Often seen before earnings, macro events, or during selloffs. |
| Flat skew | Balanced vol pricing. No strong directional fear. Typical in low-vol, range-bound markets. |
| Positive skew at specific strikes | Unusual — calls are more expensive than puts at those strikes. May signal concentrated upside demand (e.g., meme stock call buying). |
| Smirk shape | The classic equity skew: downside puts progressively more expensive. Steepness indicates magnitude of tail-risk premium. |
Use Cases
- Tail risk monitoring: Track the steepness of the put-side skew. A sudden steepening signals institutional put buying — often a prelude to a move lower.
- Vol strategy selection: Flat skew may favor premium-selling strategies (iron condors). Steep skew makes put spreads expensive — call-side credit spreads may offer better risk/reward.
- Earnings cross-comparison: Compare skew before and after earnings across tickers to gauge which names have the most fear priced in.
How to Launch
Open the Window Launcher — click + or press L.
Search for IV Skew or browse Volatility & Skew.
Click to launch and enter a ticker.
Data loads via HTTP. Toggle between absolute and ratio modes to analyze skew from different angles.
Data Source & Tier
IV data derived from the options grid through Ohey's HTTP Data Abstraction Layer, with per-strike call and put implied volatilities. IV Skew is on the Pro tier ($79/month). View pricing →
Related Windows
- IV Surface — Full 3D volatility surface for comprehensive IV analysis
- VolCube — Gamma wall detection using the same underlying option data
- SkewSentinel — Automated skew anomaly detection built on IV skew data