Option Circle Launches AI Volatility Engine to Democratize Quant-Level Options Analytics
Option Circle has unveiled its new Volatility Intelligence Engine, a proprietary analytics suite designed to give retail and professional options traders access to institutional-grade volatility insights. Backed by three pending patents, the engine introduces over 8,000 unique volatility metrics per stock—bringing a level of quantitative precision previously reserved for top hedge funds.
The system models what Option Circle calls the “volatility DNA” of every listed security, capturing multi-dimensional data across term structure, skew, and historical behavior. Unlike traditional implied volatility readings, which provide only snapshot metrics, the new engine contextualizes each data point—revealing whether volatility is unusually high, low, or statistically significant compared to historical norms.
“Knowing a stock’s implied volatility is like knowing the temperature is 95 degrees,” said Shishu Bedi, CEO of Option Circle. “It’s useful, but incomplete. Our analytics tell you it’s the hottest day in five years. One is data—the other is insight. That’s the difference our engine brings to traders everywhere.”
Takeaway
Option Circle’s Volatility Intelligence Engine builds on the identical frameworks used by institutional quants, but applies them within an intuitive retail platform. The tool performs continuous calculations across thousands of securities, capturing relative skew, slope, and rank to identify where volatility levels are statistically extreme. This gives traders a dynamic view of fear, complacency, and opportunity .
Among its core modules, the engine performs Volatility Surface Analysis to measure relative demand for puts and calls; Term Structure Insights to map volatility across diverse expirations; and Historical Contextualization to determine whether current conditions are expanding, contracting, or anomalous. Together, these tools enable a new degree of precision in evaluating both directional bias and risk exposure.
“We’re democratizing the tools of the top one percent,” said Bedi. “For too long, this level of quantitative analysis has been locked behind institutional walls. Our users can now instantly determine whether today’s volatility presents a typical environment or a rare, actionable opportunity.”
Takeaway
For advanced options strategists, the upgrade in backtesting and strategy design. Users can screen for assets with historically expensive implied volatility to pursue premium-tradeing setups, or locate long-term contracts priced unusually low versus front-month options. The system’s breadth—8,000 metrics per stock—enables granular insight into how volatility regimes shift over time.
This precision transforms how traders interpret market behavior, offering an unprecedented ability to quantify sentiment and risk premia. By embedding machine learning directly into its analytics pipeline, Option Circle ensures that its volatility models continuously refine themselves as new data and trading behaviors emerge.
More broadly, the launch signals a shift toward intelligent, context-aware . Rather than reacting to implied volatility changes, traders can now understand why those changes occur—and whether they represent opportunity or noise.
Takeaway
Option Circle’s platform combines AI automation, collaborative strategy sharing, and real-time execution to simplify complex options workflows. By integrating this new analytics layer, the company extends its mission to make , intuitive, and data-driven for every market participant.
The Volatility Intelligence Engine is now live for all Option Circle customers, offering the most comprehensive volatility visualization and analytics suite available to the public. As retail traders adopt professional-grade analysis, the line between institutional and individual capability continues to blur—an evolution Option Circle aims to accelerate.
With this launch, the company reinforces its role at the forefront of , delivering the next generation of quantitative tools for the modern trading ecosystem.
