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NOW

ServiceNow, Inc.Close $127.65EOD only
Max Pain
$110.00
Next expiry Jun 5, 2026
Expected Move
±$3.80
3.0% from close
Price Gap
-17.65
Distance to max pain
IV Rank
83
High premium
P/C OI
0.87
Slightly call-heavy
Consensus
7.0/10
Bullish tilt
Published snapshot: Jun 2, 2026 close
End-of-day snapshot

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

Published Snapshot
Jun 2, 2026 close
NOW Directional Report
Analysis based on market close April 17, 2026
DirectionalTheta GangFlowEarningsConsensus

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You are viewing an older report from April 17, 2026. A newer directional report is available for May 26, 2026.

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Outlook

Moderate bullish bias: spot sits above midpoint with dealer long-gamma encouraging mean-reversion toward structural max-pain at $95; elevated IV and mixed flow cap upside absent fresh catalysts above $106–108.

Confidence:
6.5 / 10
Dealer +GEX and spot>MP support mean-reversion; tempered by rich front-tenor IV and mixed premium flow.
Supports: Spot > MP; dealer long gamma; concentrated put OI at 95P and 85P strikes.
Conflicts: Mixed premium flow; front-tenor IV rich vs VIX; resistance cluster 100–108 limits immediate upside.
📌High pin risk near structural max-pain $95
🔒Dealer long-gamma (+$22.4M) favors mean-reversion into strike concentration
⚠️Front-tenor IV rich vs VIX—directional exposure is costly

Regime Classification

Vol Regime
High
High — IV elevated vs VIX (~17.5), front-tenor particularly rich.
Gamma Regime
Pinning
Pinning — dealers net long gamma; concentrated OI at 95P and 85P increases strike pin pressure; gamma flip near $85.
Flow Regime
Mixed
Mixed — some protection buying offsets dealer short-premium accumulation; no clear one-sided premium bleed.
Spot vs Max Pain
Above
Spot modestly above midpoint (~+1.7%), bias toward mean-reversion into $95 max-pain but vulnerable to unpin if big directional flow appears.
Thesis duration: Multi-week — Persistent dealer positioning and concentrated OI create multi-week pinning/mean-reversion dynamics rather than a single-day effect.

Price Range Forecast

Next 1 week
$86.86$106.46
Likely mean-reversion toward $95; break above $106 validates trend continuation.
Next 2 weeks
$84.81$108.51
Pinning and elevated IV limit runaway moves; downside cushioned until gamma flip ~85.

Key Levels

Max pain pins: $95 (2026-04-17); $91 (2026-04-24); $85 (2026-05-01)
EM guardrails: 1w $86.86/$106.46
Support: $95.00 · $84.81
Resistance: $100.00 · $108.51
Gamma flip: ~$85.00 — Approx — based on put OI concentration of 10,763 (12.1% below spot)
Structural: Structural max-pain: $95 (monthly expiries). Short-term guardrails (1w): $86.86 / $106.46. Key support: $91 and $84.81. Key resistance: $100 and $108.51. Gamma flip ≈ $85.

Dealer Positioning (GEX/DEX)

GEX: $+22.4M

DEX: +31.2M shares

Gamma flip: ~$85 (Approx — based on put OI concentration of 10,763 (12.1% below spot))

NTM gamma: Dealers net long gamma ≈ +$22.4M (delta-equivalent +31.2M shares); concentrated put OI at 95P and 85P increases pinning risk and sets gamma flip near $85.

IV Analysis

IV vs VIX: IV is rich vs VIX baseline (~17.5), making near-dated options comparatively expensive and raising directional costs.

Term structure: Front-tenor elevated with mild roll down the curve; near-dated expiries carry the largest premium.

Skew: Put skew steep with OI concentrated at 95P/85P; opportunity to harvest front-tenor carry via structured short-dated sales if comfortable with pin risk.

Flow Analysis

Net premium: Large net negative premium (~-52.4M) -> net credit flow, likely selling or multi‑leg credits with call‑skew and P/C vol 0.63; dealer hedging likely.

Directional prints: 78.1 call 164 OTM 2026-05-15 — High VOI but small premium; better read as sold call leg or short call spread component (credit) with dealer delta-hedge rather than unilateral buy. 345.3 put 124 ITM 2026-04-17 — Very elevated IV and volume; could be sold as part of reverse or broken-wing structure, or large protective buy offset by other legs—treat as structured/hedged flow. 71.1 call 152 OTM 2026-05-15 — High vol vs OI on low premium; consistent with selling call spreads or short call accumulation where dealers hedge into spot.

Unusual: 97.6 put 144 ITM 2026-05-15 — Notable IV/size; may be sold as offset leg in credit structure or bought as protection paired with larger sold calls. 86.9 call 98 OTM 2026-04-24 — Short-dated call flow likely tied to dealer hedging/pinning from sold calls or spreads. 107 put 65 OTM 2026-04-24 — Deep OTM activity consistent with cheap speculative buys but, given net credit, could be sold tail or structure leg.

Risks & Catalysts

!Gamma flip breach below ~$85 causing accelerated downside
!Surge in market/sector vol lifting IV and widening ranges
!Large directional flow overwhelming dealers and unpinning strikes

Strategy Viability

StrategyEdgeBest SetupPrimary Risk
Put credit spreadModerate-Strong
Sell 2026-05-01 $91.00/$80.00 put spread
Why now: Flow shows net credit and sold-call skew; prefer selling downside puts as defined-risk way to collect premium while path to $95 is favored; use expirations in the next 2–3 weeks.
Gamma flip below ~$85 or volatility surge widening ranges can produce rapid downside and hurt short put legs.
Put credit spreadModerate
Sell 2026-05-08 $80.00/$70.00 put spread
Why now: Collect premium with limited downside; dealers long-gamma and call-skew favor selling downside premium while keeping defined risk; use expirations after earnings.
Gamma flip below ~$85 or sudden vol surge can blow up short put legs Liquidity constraints: long_put: Wide spread (67%).
Call calendarModerate
Sell 2026-05-01 $100.00 call / buy 2026-06-18 $100.00 call
Why now: Near-term IV elevated vs back-month; sell short-dated call into dealer hedging and buy longer call to retain upside exposure; expirations straddle post-earnings chain.
Sharp upside gap or vol term-structure shift compresses front-month and expands back-month, hurting short leg.
Iron condorWeak
Sell 2026-05-08 $86.00/$75.00 put wing and $103.00/$115.00 call wing
Why now: Range-bound view with moderate bearish skew; defined wings limit tail risk while collecting rich IV; use expirations after earnings.
IV spike or directional flow unpinning strikes produces large loss on naked wings. Liquidity constraints: short_put: Open interest below 25.; short_call: Volume below 5.; long_call: Volume below 5.

Top Plays

#1
100 call calendar (Sell May, Buy Jun)
Sell 2026-05-01 $100.00 call / buy 2026-06-18 $100.00 call
Sell May1 $100 call, buy Jun18 $100 call to monetize short-dated premium while retaining longer upside exposure; target small directional bias up to ~3%.
Why this play: Edge via term-structure: front-month IV ~18% > back-month IV ~12% (6pt spread); expected theta positive first 10 days and favorable vega profile yields ~+$0.70 expected mark improvement under 1–3% neutral move.
Debit: $3.38-$4.12
Max loss: $4.12
BE: Path-dependent
Mgmt: Unwind short leg if spot >$99 or front/back IV spread compresses <2pt; roll short before major news.
Vol traders wanting limited cost exposure to upside with positive time decay.
#2
Post-earnings iron condor (May8 wings)
Sell 2026-05-08 $86.00/$75.00 put wing and $103.00/$115.00 call wing
Sell May8 86/75 put and 103/115 call iron condor to collect ~2.50 premium; positioning assumes 1–2% daily ATR shrinkage post-release.
Why this play: Captures rich post-earnings IV with defined risk: forecast premium collected ~$2.50 generating ~20% return on capital if trade stays within inner strikes; tail risk limited by wings.
Credit: $4.05-$4.95
Max loss: $7.05
BE: 81.05 / 107.95
Mgmt: Buy wings if price breaches inner strikes; tighten or hedge if underlying moves >3% intraday or premium-to-RR deteriorates. Liquidity warning: Liquidity constraints: short_put: Open interest below 25.; short_call: Volume below 5.; long_call: Volume below 5.
Traders comfortable managing multi-wing defined-risk trades seeking mid-term premium capture.

Watchlist Triggers

Entry Triggers
IFIF spot >=95 and <=100 and days_until_earnings >2 → THEN enter s1: sell 2026-05-01 91/80 put credit spread sized so max_loss ≤1.5% of account equity; entry price 2.21-2.70 (target mid)
IFIF spot between 98 and 101 and front/back IV spread >=2pt → THEN enter now_calendar_call_001: sell May1 $100 call buy Jun18 $100 call; unwind short if spot >101 or front/back IV spread <2pt; position sized so max_loss ≤1.5% of account equity
IFIF post-earnings (>=May8) and spot between 86 and 103 → THEN enter now_iron_condor_001: sell May8 86/75 put and 103/115 call wings sized so max_loss ≤1.5% of account equity
Adjustment Triggers
ADJIF short put spread short leg <5% OTM (spot <88) or spot <key_support 84.81 or IV spikes >+30% vs entry → THEN close or roll down puts or buy protection to cap loss to ≤1.5% of account equity
Exit Triggers
EXITIF modelled POP <60% (POP = option-pricing model probability underlying finishes inside profitable range at expiration) or spot ≤85.00 (gamma_flip threshold) → THEN exit defined-risk sells and switch to protective long puts

Tactical Summary

Moderate bullish multi-week bias: favor defined-risk put credits pre-earnings and calendar call into elevated front IV; use iron condor post-earnings; cap per-trade loss at 1.5% of account; exit when modelled POP <60% or spot ≤85.00.
How to Use These Reports
This directional reflects the market close on April 17, 2026.
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