Implied Volatility

Implied Volatility auto-detects the published implied volatility index matching the chart symbol — VIX for the S&P 500, VXN for the Nasdaq 100, GVZ for gold, OVX for crude, EVZ for EUR/USD, BVIV/EVIV for crypto — and plots it with IV Rank and IV Percentile over a 252-session lookback. Regime bands frame the print inside its 52-week range, and a realized-volatility overlay exposes the volatility risk premium.

How to Trade the Implied Volatility?

• High regime (IV Rank at or above 50): premium rich versus its own year — expect wider movement when sizing and placing stops.
• Low regime (IV Rank at or below 20): premium cheap versus the past year — compressed expectations that often precede expansion.
• IV crossing above realized volatility: the market paying for more movement than delivered; the IV − RV row tracks the spread.
• 1σ expected move: the dashboard converts IV into a ±price range — the direct input to stop distance and position size.

The rest of the volatility family measures what price did; this pane shows what options are paying for next.

Implied Volatility Settings

• IV Source (default Auto): auto-detect the symbol's IV index or read the manual symbol.
• Manual IV Symbol and Auto Fallback Index (defaults CBOE:VIX): the Manual series and the proxy Auto falls back to.
• IV Timeframe (default D): where the IV series is sampled.
• Lookback (Sessions) (default 252): the IV Rank and IV Percentile window — the 52-week convention.
• Rank High ≥ / Low ≤ (defaults 50 / 20) and Percentile High ≥ / Low ≤ (defaults 80 / 20): the regime thresholds.
• Realized Volatility Length (default 21): close-to-close window, annualized to the IV scale.
• Expected Move Horizon (Days) (default 30): calendar days behind the 1σ move.
• Dashboard, band display, and colors are style options.

Frequently Asked Questions

How does implied volatility differ from historical volatility?

Historical volatility measures the movement a market actually delivered; IV measures the movement being paid for now, extracted from option prices. This build plots both, making the premium directly visible.

Why quote both IV Rank and IV Percentile?

One extreme spike inflates the 52-week range and compresses later rank readings; the percentile just counts sessions that printed lower, so it is usually the more robust of the two.

What happens on symbols without an options market?

Auto mode reads the Auto Fallback Index and the dashboard tags the source "(proxy)". A related market's IV still works as a regime read, but the expected move then derives from the proxy's pricing — an approximation.