Knowledge Base/Concept

CONCEPT / REGIME

What Is a Gamma Flip?

Gamma Flip is a reference level used to describe where the estimated gamma regime changes sign. It helps frame the structure around the level; it does not tell you what to trade.

Above the reference
Often read as a more damped regime
Below the reference
Often read as a more reactive regime
Use
Context for structure, not a signal

The basic idea

Options gamma changes how hedging pressure responds to a move. A Gamma Flip is the estimated price level separating the positive and negative portions of that profile. The level is calculated from the available chain and can move as the underlying and positioning change.

A responsible reading order

Read the level together with the surrounding concentration, the current structure state, and the timestamp. A single crossing is not enough to establish a durable regime; persistence, data quality, and the rest of the map matter.

What Gamma Flip cannot tell you

It cannot establish a trade direction, a target, or a probability of success. The estimate also inherits limitations from open interest, chain quality, and the assumptions used to translate positioning into a structural profile.

Continue with the public knowledge base

Read the broader methodology in Docs, or open the free practice experience before deciding whether the full terminal fits your workflow.

Open DocsSee GAMMAFRAME