Nightwatch Glossary

IV Rank

IV Rank compares current implied volatility with its historical range.

English definition

IV Rank compares current implied volatility with its own historical range. A high IV Rank means current implied volatility is near the upper part of that range, while a low IV Rank means it is closer to the lower part. Traders use IV Rank to frame whether option premium looks elevated or compressed relative to recent history, but it does not predict direction by itself.

中文解释

IV Rank 会把当前隐含波动率和它自身的历史区间进行比较。高 IV Rank 表示当前 IV 接近历史区间上沿，低 IV Rank 表示更接近区间下沿。交易者常用它判断期权权利金相对历史是否偏贵或偏便宜，但 IV Rank 本身不预测方向。

How Nightwatch uses this term

Nightwatch uses IV Rank as one market-structure input alongside price, implied volatility, options flow, and dealer-positioning context. It should be read as analytical context, not financial advice.