Options Market Analysis Guide
Complete guide to analyzing options market data for insights into market sentiment, positioning, and directional bias.
Options market analysis provides unique insights into market sentiment and positioning that aren't available from price action alone. Key metrics reveal trader expectations and potential market moves.
Key Insights
Point 1
Put/call ratio interpretation and signals
Point 2
Options skew analysis for market bias
Point 3
Gamma positioning and market impacts
Point 4
Unusual options activity identification
Point 5
Options-based sentiment indicators
Practical Applications
Monitor put/call ratios for sentiment extremes
Track options skew for directional bias
Use gamma exposure for short-term timing
Watch for unusual options volume spikes
Combine multiple options metrics for confirmation
Related Market Indicators
Financial Glossary
Market Capitalization
Total value of company's outstanding shares
Fundamental AnalysisPrice to Earnings Ratio
Valuation metric comparing price to earnings
Fundamental AnalysisDividend Yield
Annual dividend as percentage of stock price
Income InvestingBeta Coefficient
Measure of stock volatility relative to market
Risk ManagementBull Market
Sustained period of rising stock prices
Market Cycles