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Advanced options concepts, dealer exposure mechanics, and quantitative trading insights.
0DTE Options
Understanding zero days to expiration options - their unique characteristics, extreme Greeks behavior, and impact on market structure.
Charm Exposure (CEX)
How the passage of time forces dealers to adjust hedges through charm (delta decay), creating predictable flows at key market times.
Gamma Exposure (GEX)
Understanding how aggregate dealer gamma exposure impacts market movement and volatility through options market maker hedging activity.
Gamma Flip Level
The price level where aggregate dealer gamma transitions from positive to negative, marking a critical regime change in market behavior.
Implied Volatility Surface
A 3D representation of implied volatility across strikes and expirations, essential for accurate Greek calculations and exposure modeling.
Negative Gamma Environment
Understanding market regimes where dealers amplify price moves through their hedging, leading to increased volatility and trending behavior.
Open Interest and Dealer Exposure
How open interest data translates into dealer exposure calculations, revealing the hedging flows that move markets.
Options Flow
Understanding real-time options transaction data and how large or unusual trades reveal institutional positioning and sentiment.
Positive Gamma Environment
Understanding market regimes where dealers dampen price moves through their hedging, leading to mean-reversion and suppressed volatility.
Vanna Exposure (VEX)
How dealer sensitivity to implied volatility changes creates directional flows and impacts market structure through vanna-driven hedging.
Volatility Regime
Persistent market states characterized by particular levels and behaviors of volatility, affecting optimal trading strategies and exposure dynamics.
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