What Does VIX Dealer Gamma Say About the Next Spike?
This tool shows the current level of VIX dealer gamma and what similar positioning has historically meant for the VIX over the following weeks.
Every VIX option leaves a dealer on the other side who hedges as the index moves. Gamma exposure (GEX) measures how much hedging pressure their positioning creates. When dealers hold a large amount of gamma, their rebalancing flows can shape how the VIX moves. When gamma is light, that force is mostly absent.
Rather than showing a raw gamma figure that is hard to compare across time, the tool expresses dealer gamma as a percentile of its own trailing six-month range. A reading near 100 means positioning is heavy relative to recent months, while a reading near zero means it is light. It also separates calm markets from stressed ones, because the same gamma level can carry different implications depending on whether the VIX is already elevated.
From there, the tool identifies every past day when dealer gamma sat at a similar percentile in the same VIX regime. It then shows the historical probability that the VIX spikes over the next 5, 10, and 20 trading days, along with a chart of those odds and the full list of comparable days.
Net dealer gamma in VIX options shown as a percentile of its trailing six-month range. High readings reflect heavy positioning, while low readings indicate light positioning.
Historical odds that the VIX spikes within the next 5, 10, or 20 trading days, based on past days with similar gamma positioning and regime.
A full record of every prior day with a comparable gamma percentile and VIX regime, along with how the VIX performed afterward.
Check where net dealer gamma in VIX options sits within its trailing six-month range. A reading near the top indicates heavy positioning, while a reading near the bottom signals light positioning.
See the historical odds that the VIX spiked over the next 5, 10, and 20 trading days from days with similar gamma positioning.
Open the log of past days that matched the current gamma percentile and VIX regime, and review how the VIX actually performed afterward before acting on the reading.
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