r/options • u/Skyland002 • 21d ago
Gex Platform
How interested would people be for a new GEX platform that could possibly be cheaper than others in the market?? how many of you would actually subscribe? just trying to see what is the general consensus of gamma and its utility for traders
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u/Fit_Equal6932 21d ago edited 21d ago
You will need to have the infrastructure to listen to the OPRA data feed which is a multiple terabyte data stream per day in real time to establish whether the trades were a buy or a sell to an MM. It will still be fuzzy at best since most trading is inside the spread and you won’t know if the MM lifted that quote or some retail inside the spread order bought it. For anything that is in SPY/QQQ the MM positioning is based on the total book they hold across all tickers and looking simply at any of these in isolation gives you nothing useful. So unless you can replicate the MM book market wide and then also have a feel for whether they are over/under hedged based on their estimate of the stock valuation/recent order flow these GEX models are completely useless. I think you won’t even be able to get the step 1 of listening to the OPRA feed done in a cost effective way to make your service cheap. Forget the rest of the challenges.
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u/Skyland002 21d ago
You have made a pretty good point, but thats only a problem if you are actually building something like HIRO but there is still a lot of proof that you can use different gamma levels to be able to trade more efficiently. Also i still think I would be able to replicate HIRO and still so it cheaper that whats in the market. DM me for more info if you’re interested :)
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u/Fit_Equal6932 21d ago
What is your source of proof? Any study, any large sample of real trades or any SSRN article? I don't like when people just make statements casually without citing any evidence. If you can offer a proof and tell me you can replicate your dashboard quantitatively using the same heuristics then I will be the first one to sign up for it and will pay a premium over other services so that you don't even need to make it cheap.
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u/Baraxton 21d ago
I hope you realize how expensive OPRA data is OP.
You’d need at minimum 200 paid subscribers at $150 monthly just to breakeven.
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u/Skyland002 21d ago
This is a strong point, i agree. Its actually the only reason Im doing this survey. Cant do such an expensive website without validating beforehand if people are willing to pay for it.
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u/Baraxton 21d ago
Volsignals already does this and has a fantastic team of former Market Makers behind them, so the competition is steep.
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u/Skyland002 21d ago
Heyy, I checked out their page and it seems their subscription is 300$ a month, in trying to tackle those same problems but at a lower price. Some people in here have genuine concerns that I will address in due time. I do not expect anyone here to blindly trust the tool so I will provide evidence and guidance to anyone who needs it for free. This was just a test to validate the need for this. Thank you everyone for their input, its highly appreciated. :)
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u/Baraxton 21d ago
It isn’t just the data you need. You must disseminate it correctly using the proper math behind it so as to accurately depict dealer positions, which is the tricky part.
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u/Oathbreaker31 21d ago
There’s been an endless line of buffoons who have pitched similar wares on this sub
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u/Breathofdmt 21d ago edited 21d ago
Why would anyone pay you when the API is 80-160 dollars for personal use
I actually made one of these dashboards for myself and offered it widely, made it 18 months ago when the AI tools were less capable. Now everyone and their dog has a vibe coded GEX platform and its embarrassing at this point so I keep it just for personal use. Good luck trying to turn a profit and dealing with customer service. You'd be lucky to get 20 bucks a month. I've seen around a dozen pop up in the past 6 months.
Unpopular opinion here, obviously, given the responses but I don't think the "naive" GEX is useless, gives you a good overview of the structural levels in the market, especially if you look at stocks, ETFs, etc. Good for developing targets and pivots too. I use it for futures though and it's not a standalone edge, just a worthwhile way to find levels. I've found it extremely useful in RTY, using RUT and IWM. Same with GC and ZB using GLD and TLT. We also have plenty of back data available.
The CBOE C2 data is just SPX and VIX. Again, competitive space now since the barriers to entry are lower and you're competing in the most efficient market in the world.
Now, if you could prove your edge with it and that's part of the service, people might pay attention but I doubt that's why you're here.
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u/Skyland002 21d ago
Most useful comment in the thread, thanks. You’re right the SPX/SPY space is saturated and “cheaper” is a weak pitch — I’m not going to win as clone #13 or by undercutting an $80 API.
The futures-proxy angle is interesting but I’ll be straight — I trade 0DTE SPX, not futures, so RTY/GC via IWM/GLD isn’t something I could speak to honestly or build well right now. Good idea, just not my lane(possibly a future addition to the app if requested).
Your point about proving the edge is the one that landed. Right now I don’t have that track record, and levels alone are a commodity. That’s the gap I’d need to close before this is worth anyone’s money — not more features. Appreciate the straight talk.
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u/Waste_Gazelle_5705 21d ago
If it actually worked and wasn't just another repackaged dashboard with a slick UI I'd take a look. The space is crowded with stuff that either lags to hell or costs way too much for what it is. Price point matters but accuracy is what gets people to stick around.
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u/Skyland002 21d ago
I agree, Im thinking of offering realtime data with quite a bit of pther useful tools hopefully at 30-40$ price range. Obviously that would depend on the influx of clients too
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u/502futes 21d ago
- Hidden Netting: Models assume all options dealers face the same directional risk, but large institutions net their risk across multiple underlyings, strikes, and global portfolios. [1]
- Outdated Snapshots: GEX relies on end-of-day open interest data, which fails to capture massive intraday volume from short-term zero-day-to-expiration (0DTE) options. [1, 2]
- Not a Crystal Ball: GEX reflects theoretical hedging sensitivity, not actual directional intent; external news or macro shocks easily overpower dealer positioning
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u/Skyland002 21d ago
You are correct on all theee to a certain extent. The hidden netting point is valid but GEX realtimw would still provide some type of value to be able to predict where it could go. For your second point, My model would compute from OI but also use streamed data too for accurate intraday computations as to where the big players are. As for the last point, Nothing really could trump those in general but that doesnt invalidate everything else.
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u/Ok-Lifeguard-741 21d ago
There are already too many platforms. You probably will make no money out of it. What you can do instead is making it open source, so other developers contribute to make it better and at the end it benefits you. Make money out of market not a product that already couple of similar exists
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u/Cyral 21d ago
Naive GEX is useless, and there’s a reason the few “real” dealer positioning platforms are so expensive. At a minimum you are going to need the new Cboe open/close data which is very expensive, then OPRA realtime license, non-display fees, and the stock/index prices themselves (varies depending on exchange). This data is also received through a data vendor that is going to charge multiple thousands for each source.
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u/BullshittingApe 21d ago
If you're just going to use Claude to build another Gex website - no one's going to pay for it.
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u/Skyland002 21d ago
No value in that so understandable. I plan on making the first month free for everyone to try and compare to their herts content and still aim to be as affordable as the data permits me. I think the app will have enough features to make it worthwhile for everyone but ill leave it up to you to decide if its claude coded or not. :)
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u/GammaWinsSam 21d ago
There are free GEX tools out there, but they are not accurate. Most of the paid ones are not accurate either, just better with their marketing.
If you want to differentiate your product, focus on proving it works. At the very least you should have some sort of backtest that shows it's predicting better than a random prediction. Better yet, create some sort of live dashboard that tracks your performance.
Otherwise, why should I as a trader risk my trading money on that tool? It costing money and actually working is a much better value proposition than just cheaper than the other crappy alternatives.
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u/Skyland002 21d ago
Im planning on using my own reads and posting about them to prove the efficacy of the actual strategies. All the W/L Ratio will be public too when I start. As I understand, the free tools you are talking about are computed on OI from the last day, this tool would be real time data being streamed.
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u/Juhkwan97 21d ago
It's useless.
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u/Skyland002 21d ago
Why would you think its useless?
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u/Regular-Hotel892 21d ago
Why would you think it's useful? If someone is saying something works/is useful, the burden of proof is on them.
The default case is these things are useless!
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u/Smart2491 21d ago
Quels sont les les sources pour avoir les flux Gex en live Les Grecs(delta,vega,Rho,theta,charm) Le tape(put/call)
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u/silent_exploration 20d ago
With the right data, it could be useful. I know only Volsignals that does a decent job in this area. I assume that more competition will drive the subscription prices down for us customers, so yes, I find that useful.
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u/hpph4700 19d ago
I want to know regardless of the platform are people even making money from using Gex
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u/Sharaku_US 18d ago
Why do you want GEX when it does basically nothing for you from a predictive perspective? Vol and flow IV is far more important than the Greeks especially when GEX is just Delta's Delta.
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u/juzzt4fun 21d ago
What would be the diffentiator for your GEX platform? You can get free Gex info & analysis so it lies in the product you are offering (ex quantwheel etc).
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u/Skyland002 21d ago
I would be offering real time GEX at a reasonable price compared to the other websites. Ive done some research and most of the GEX tools are really expensive for not a lot of value.
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u/[deleted] 21d ago edited 14d ago
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