FLUX

IV Ratio (Front / Back)

Front IV divided by Back IV. Measures how compressed or elevated near-term volatility is relative to the back month.

Front IV % - Delta-Based ATM

• Find 0.5 delta call (ATM call)
• Find -0.5 delta put (ATM put)
• Average their mid_iv values

Back IV % - Delta-Based ATM

• Find 0.5 delta call (ATM call)
• Find -0.5 delta put (ATM put)
• Average their mid_iv values

IV Index - Overall Volatility Average

Simple average of all expirations within 45 DTE in the term structure.

Provides a baseline for comparing individual expiration IVs to the overall term structure.

Use: Compare Front/Back IV to this average. If they're lower, your selected expirations have below-average IV; if higher, above-average IV relative to the term structure.