thetaOwl

AVGO

Broadcom Inc.Close $446.77EOD only
Max Pain
$410.00
Next expiry Jun 1, 2026
Expected Move
±$13.70
3.1% from close
Price Gap
-36.77
Distance to max pain
IV Rank
72
High premium
P/C OI
1.15
Slightly put-heavy
Consensus
8.5/10
Bullish tilt
Published snapshot: May 29, 2026 close
End-of-day snapshot

This page reflects AVGO options positioning from the latest published market-close snapshot. Intraday price and contract changes are not displayed.

Published Snapshot
May 29, 2026 close
AVGO Theta Report
Analysis based on market close April 14, 2026

Historical consensus-supported lens with full content, report chain context, and metric rail.

You are viewing an older report from April 14, 2026. A newer theta report is available for May 26, 2026.

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Theta Verdict

Attractiveness8 / 10
Sizing: Moderate
Primary: Sell vertical put spreads (cash-secured) near the 360–370 dealer pin / OI support
Invalidation: Sustained close below the 1-week EM lower bound $364.93 (breach of $360 support would force reassessment)
Confidence:
7.5 / 10
base 5; +2 GEX/flow strongly aligned (GEX +$71.5M); +1 GEX pinning; -1 spot 5.8% above MP; +0.5 VIX 18.36

IV Environment

IV Regime
High
IV vs VIX
Avg IV 54.4% vs VIX 18.36 — IV is materially rich relative to indices; near-term ATM IVs ~42-45%
Favorable?
Yes

Term structure: Short-dated ATM IVs sit ~36-43% (1d–2w) with mid-term 30–94d ATM ~45-48% — a rich front and elevated tail (good for selling premium across expiries).

💰High Avg IV 54.4% gives edge to sellers; short to mid-term IV in the 40s provides good credit for 30–45 DTE
📈VIX only 18.36 — shows systemic vol is calm while AVGO-specific IV is rich (dispersion opportunity)

Pin Risk Assessment

Spot vs MP: Above by 5.8% (spot $380.78 vs nearby max pain $360 on 4/15 and 4/20; MP trend is falling)

GEX regime: Pinning (GEX +$71.5M) — dealers positioned to pin around concentrated strikes

Gamma flip: ~$300.00Gamma flip near ~$300 — well below spot; dealer hedging becomes amplifying only if price heads deep below $300

OI concentrations: Call walls at $390 (15,069 OI) and $400 (10,383 OI); large put OI clusters at $300 (13,257 OI) and $250 (12,672 OI). Near-term GEX magnets at $390 (+$13.4M), $380 (+$4.8M), $400 (+$4.7M), $370 (+$3.1M), $360 (+$2.6M).

Verdict: Favorable — strong positive GEX and multiple near-spot pin magnets (370–390) support selling defined-risk premium (put spreads / iron condors). Credit positions benefit from dealer pinning unless price breaks below EM guardrails.

Premium Opportunities

#1
put spread
Sell 365/360 put spread 2026-05-15 (31 DTE)
30–45 DTE window, elevated IV and strong dealer pinning around 370–360 make short put spread attractive. 365 short sits inside the near-term EM band ($364.93–$396.63) and well above the gamma flip; put OI is heavier much lower (300), so downside is structurally supported.
Credit: $0.60-$0.90
Max loss: $4.40
BE: 364.40
Mgmt: Take profits at 60–70% of max credit; roll down and widen if price approaches short strike with <14 DTE (e.g., roll to 360/355 or roll to next month if credit neutral); cut losses at ~50% of max loss or if there is a decisive close below $364.93 (1-week EM lower bound).
#2
iron condor
Sell 370/385C and 355/350P 2026-05-15 (31 DTE)
Wide iron condor captures rich call and put vol; short 370 call sits at a GEX magnet (370) and short 355 put sits inside dealer pin range but still ~25 points below spot — structure benefits from positive GEX pinning and falling MP trend (which keeps puts cheap relative to calls). Use defined-risk wings to limit tail exposure.
Credit: $1.00-$1.60
Max loss: $8.40
BE: Put-side ~349.40 / Call-side ~386.60
Mgmt: Close one wing at 50% of max profit; if either short strike touched intraday, consider buying back that wing and leaving the other side; roll the tested wing outward by ~1 strike for a net debit if volatility increases; cut losses if both short strikes are breached or price sustains outside the 1-week EM band ($364.93–$396.63).
#3
cash-secured put (naked put)
Sell 370 put 2026-05-15 (31 DTE) — cash-secured
Short 370 put takes advantage of pin magnet at 370 and dealer GEX support; if assigned, the position results in owning AVGO at a purchase price below current spot adjusted for collected premium. Use only if comfortable owning shares.
Credit: $2.50-$4.20
Max loss: Unlimited to downside (but effectively spot - strike less premium) 370 - credit
BE: Approximately 365.80–367.50 (depending on received credit)
Mgmt: Close at 50–65% profit; roll down to 360/355 put spread if price drops toward 370 to convert to defined-risk; do not hold through a close below $364.93 without adjusting; avoid naked puts within 2 trading days of concentrated weekly pin expirations.
#4
covered call
Sell 400 call 2026-05-15 (31 DTE) against long stock
Large call OI and heavy institutional flow into $400 strikes (net premium flow >$21M at $400) make calls rich; selling a 400C on a covered position yields attractive yield while leaving upside optionality. Suitable for bullish-to-neutral holders who want to harvest IV premium.
Credit: $1.00-$2.00
Max loss: Downside stock risk less collected premium
BE: Stock cost basis - collected premium
Mgmt: Buy back at 50% of max premium or if stock rallies towards $392-$396 (upper 2d/1w EM bounds); consider rolling out-and-up if assigned risk is acceptable and IV stays elevated.
#5
short-dated defined-risk put spread (weekly)
Sell 375/370 put spread 2026-04-17 (3 DTE, weekly) — defined-risk only
High near-term IV and pinning behavior (max pain and GEX magnets on 4/15–4/17) allow selling very short-duration defined-risk spreads that capture fast theta. Use weekly defined-risk spreads only because of event risk concentrated around near-term expirations.
Credit: $1.80-$3.20
Max loss: $3.20
BE: Short strike breakeven ~373.20–373.80
Mgmt: Take profits aggressively (70%+) into expiry; close if tested intraday or price breaches the 2-day EM lower bound $369.19; avoid rolling into other weeklies without additional credit and clear directional read.

Risk Alerts

!Max pain short-term is $360 (4/15 and 4/20) and MP trend is down — selling naked puts too far below may still be at risk if MP moves lower.
!Large institutional call flow centered at $400 (net premium flow ~$21.49M) could buoy upside and steepen skew; if flow reverses, call-side risk (rapid gap higher) can hurt short calls.
!GEX is strongly positive (+$71.5M) — generally pinning but can flip to strong moves if hedging blows out or dealers hedge unwind; monitor rapid increases in DEX/flow.
!Several unusual put trades concentrated around 350–375 expirations (notably heavy volume at 350 and 375 weeklies) — short-dated put activity could compress/expand IV unexpectedly around those strikes.
!Earnings not until 2026-06-03 (outside 2 weeks) — no immediate earnings risk, but avoid initiating multi-month naked positions that straddle the June print without a plan.
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This theta reflects the market close on April 14, 2026.
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