How SILVERM option prices change across strikes and expiries: the implied volatility (IV) of every call and put, the skew between puts and calls, the term structure.
In plain words: Nearer expiries are dearer (ATM IV 40.6% → 39.9%): traders expect bigger moves in the coming days than later.
ATM IV
39.9%
28 Dec expiry
Put 2% below
–
strikes not recorded
Call 2% above
–
strikes not recorded
Skew 2% away
–
put minus call IV
ATM IV at the open
31.1%
+8.8 since
Term structure
40.6 → 39.9%
nearest to 2nd expiry
Volatility smile
IV by strike for the 28 Dec expiry · grey: the other expiries · tap the chart
CallsPutsOther expiries (out-of-the-money side)SILVERM futures now
Term structure
ATM IV for each expiry
IV grid
Every strike within 10 strikes of the price, for each expiry. Warmer = dearer options. Out of the money: puts below the ATM strike, calls above (the ones traders mostly buy).
Strike
23 Nov (11d)
28 Dec (46d)
1,90,000
39.9
–
1,89,000
39.9
–
1,88,000
39.6
–
1,87,000
39.6
–
1,86,000
39.4
–
1,85,000
39.4
38.2
1,84,000
39.5
23.6
1,83,000
39.8
–
1,82,000
40.2
–
1,81,000
40.3
–
1,80,000 ATM
40.6
39.9
1,79,000
40.7
–
1,78,000
41.3
–
1,77,000
41.5
–
1,76,000
42.1
–
1,75,000
42.7
–
1,74,000
43.0
–
1,73,000
43.6
–
1,72,000
43.9
–
1,71,000
44.7
–
1,70,000
45.2
–
Skew history
A long daily skew history is kept for NIFTY only (see it here). For SILVERM this page shows the skew from today's recorded option prices.
What is volatility skew?
Options at different strikes trade at different implied volatilities (IV). In Indian index options, puts below the price usually cost more than calls the same distance above, because traders pay extra to protect against a fall. That difference is the skew. When it rises, fear is rising; when it falls or turns negative, traders are relaxed or even expect a rise.
How to read the IV grid
Down a column: the smile for one expiry. A deep "U" means far strikes are dear.
Across a row: the term structure for one strike. Nearer expiries are often dearer before events.
Warm cells are expensive options to buy and rich options to sell.
How we work it out
Every minute we record the price of each SILVERM option near the money. This page takes the latest minute (22:29) and works out the IV of each one with the Black-Scholes model, priced off the forward the options themselves imply at the ATM strike, so calls and puts agree.
Information only, not investment advice.
What is SILVERM volatility skew today?
It is shown at the top of this page: how much more implied volatility SILVERM puts below the price carry than calls the same distance above. A positive number means puts are dearer.
Why do puts usually cost more than calls?
Investors and funds buy puts to protect against a fall, and falls tend to be sharper than rises, so option sellers charge more for downside protection.
What does a negative skew mean?
Calls above the price cost more than puts below it: traders are paying for a move up, or have stopped worrying about a fall.
What is an IV grid?
A table of implied volatility for every strike (rows) and expiry (columns). Down a column is the volatility smile; across a row is the term structure.
How often is it updated?
Every minute during market hours, from our recorded option prices. After the close the page shows the day's final reading. The NIFTY daily skew history is added each evening.