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USO

United States Oil FundClose $129.09EOD only

Max Pain

$140.00

Next expiry Jun 3, 2026

Expected Move

±$4.05

3.1% from close

Price Gap

+10.91

Distance to max pain

IV Rank

Low premium

P/C OI

1.80

Slightly put-heavy

Consensus

7.0/10

Bearish tilt

Published snapshot: May 29, 2026 close

End-of-day snapshot

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

Published Snapshot

May 29, 2026 close

USO Directional Report

Analysis based on market close April 13, 2026

Directional Theta Gang Flow Earnings Consensus

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

You are viewing an older report from April 13, 2026. A newer directional report is available for May 26, 2026.

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Outlook

Neutral-to-bullish with upside pinning toward $130-$135, Confidence: 9.0/10 (base). Primary supports: large positive GEX +$28.1M concentrated at $130/$135, net premium inflow +$14.8M and spot trading 2.0% above nearest MP $126; conflicts: very high ATM IV (avg 79.9%) elevates tail risk and term-structure kink into 4/24.

Confidence:

9 / 10

Base 9.0: +28.1M GEX pinning at $130/$135, +40.9M DEX long exposure, net premium +$14.8M; offset by High IV (ATM ~77.8–86.2%) and mixed flow; no override.

Supports: GEX concentrations at $130/$135/$140 creating dealer delta buy into weakness; MP $126 (4/15) close to spot; net premium positive indicates institutional buying of calls/puts (mixed but supportive).
Conflicts: Very high IV and stretched term IV into 4/24 (86.2% ATM) increases cost of conviction; P/C OI 1.58 shows structural put demand lowering downside; unusual large put prints at $132/$129 add ambiguity.

📌GEX pin magnet concentrated: +$6.1M at $130 and +$4.5M at $135 (1.2% / 5.1% from spot).

⚠️ATM IV very high: 2d 77.8% → 11d 86.2% (vol term kink favors selling premium into elevated levels).

📈Net premium +$14.8M and DEX +40.9M shares — dealers long stock risk, likely to hedge by buying dips.

Regime Classification

Vol Regime

High

High IV (avg IV 79.9%; ATM 77.8%–86.2% short-dated) — favors premium sellers if comfortable with gap risk but raises cost for directional buys.

Gamma Regime

Pinning

Pinning: Total GEX +$28.1M with concentrated near-term nodes at $130/$135/$140 — dealers supply mean-reversion forces into those levels.

Flow Regime

Mixed

Mixed flow: net premium +$14.8M but P/C OI 1.58 and P/C vol 1.06 — institutional put interest coexists with call buying at key strikes (e.g., $111 call flow huge).

Spot vs Max Pain

Above

Spot $128.47 is above next MP $126 (4/15) and within 2d EM bounds; being above MP supports mild upside magnet toward $130–$135.

Thesis duration: Multi-week — Pinning and GEX concentration persist across nearest expirations (4/15 and 4/22) and MP trend is sliding down slowly; regime persists 2–4 weeks, so prefer 30–45 DTE for core positioning with weeklies for tactical overlays.

Price Range Forecast

Next 2 days

$121.25$135.70

Sustained bid and GEX at $130/$135 push dealers to buy dips; break below $121.25 removes pin and accelerates downside.

Next 1 week

$114.62$142.32

Max pain at $126 (4/15) and large put OI at $110/115 create asymmetric downside cushion; sustained rally above $135.70/$142.32 requires macro upside.

Next 2 weeks

$109.50$147.45

Term IV remains elevated through 4/24 (86.2%) so a vol unwind or catalyst needed to sustain large directional move; failure below $114.62 opens deeper test.

Key Levels

Max pain pins: $126 (2026-04-15); $110 (2026-04-17); $121 (2026-04-22)

EM guardrails: 2d $121.25/$135.70; 1w $114.62/$142.32

Support: $126.00 · $125.00 · $121.00

Resistance: $135.00 · $140.00 · $142.32

Gamma flip: ~$100.00 — Approx — based on put OI concentration of 26,777 (22.2% below spot)

Structural: Structural put floor concentrated $67–$110 — large long-dated put OI means heavy dealer protection exists below $110; reclaiming >$150 would face sparse hedges but breakout accelerants are at very high strikes (e.g., $171).

Dealer Positioning (GEX/DEX)

GEX: $+28.1M

DEX: +40.9M shares

Gamma flip: ~$100 (Approx — based on put OI concentration of 26,777 (22.2% below spot))

NTM gamma: Near-term positive gamma: +$6.1M at $130 and +$4.5M at $135 means dealers will buy dips and sell into rallies around these nodes; if spot falls ~-2% (~$126) dealers reduce long-delta hedges and selling pressure eases; if spot rises +2% (~$131) dealers will cut hedges and may sell into strength, toning rallies above $135.

IV Analysis

IV vs VIX: ATM IVs (77.8%–86.2%) are far above VIX 19.12 — USO volatility rich vs equities; favors premium selling where directional risk is managed.

Term structure: Front-loaded steepness: 2d 77.8% → 11d 86.2% then backs down to ~74% by 32d; large short-dated skew/kink around 4/24 expiry.

Skew: Pronounced short-dated skew and elevated IV at $135/$140 provide an opportunity to sell premium (iron condors/put spreads) or buy longer-dated protection; calendar trades sell front-dated IV (e.g., sell 4/15 vs buy 5/15) capture 10–20 vol-pt differentials.

Flow Analysis

Net premium: + $14.8M (institutional net buy of premium).

Directional prints: 87.5 put 132 ITM 4/15 — Large 4/15 put prints at $132 (Vol 1,804 / OI 105, 17.2x) — could be buy-protect or sell-to-open; given net premium +14.8M and positive GEX, more consistent with buyers buying downside protection (buy puts). 78 put 129 ITM 4/15 — $129 4/15 put prints (Vol 1,439 / OI 119) — near-ATM aggressive short-dated protection; interpretable as outright buys of puts into expiry.

Unusual: 79.7 call 132 OTM 4/15 — $132 call prints heavy (Vol 1,631 / OI 301) simultaneous with $132 put flow — two-way hedging or straddle/vol trades, indicates dealer risk management around $132.

Risks & Catalysts

!Gamma flip ~ $100 — structural dealer hedging vanishes below $100 exposing large downside gaps.

!Short-dated IV spike: 4/24 ATM IV 86.2% creates sharp movement risk into that expiry.

!Max pain shifts: multiple MPs ($126 on 4/15, $110 on 4/17) create competing magnets — conflicting pin forces can widen range.

!Macro upside/downside in crude can blow through EM guardrails ($142+ or <$114) quickly, invalidating range trades.

Strategy Viability

Strategy	Edge	Best Setup	Primary Risk
Long stock	Moderate-Weak	Buy USO stock at market (128.47)	High IV and short-dated pinning create expensive carry and potential sharp pullbacks.
Short stock	Weak	Avoid naked short stock given large positive GEX and dealer long exposure (DEX +40.9M).	Dealers buying dips likely to cap down moves; heavy structural put floor below $110 complicates trend.
Covered call	Moderate	Buy USO + sell 4/22 $135 call against shares	Call assignment if strong rally; IV high reduces efficient income generation.
Cash-secured put / put spread	Strong	Sell 30–45 DTE May 15 $125/$120 put spread (sell $125 buy $120)	Sharp gap below $121.25 removes hedging; short-dated pin risk into 4/15.
Long calls (directional)	Moderate-Weak	Buy 30–45 DTE May 15 $135 call	Very rich IV makes call debit expensive; needs strong underlying move to overcome theta/IV cost.
Long puts / bear put spread	Moderate	Buy 4/15 $129/$125 put spread (debit) as tactical hedge	High cost due to elevated IV; potential rapid theta decay if pin holds above strikes.
Iron condor	Moderate-Strong	Sell 4/22 125/120P x 135/140C iron condor	Vol spike or MP shift into $110/$126 range will expand losses; short front-dated IV risk.
Calendar / diagonal	Moderate-Strong	Sell 4/15 $130 call (ATM front) buy 5/15 $130 call — sell higher front IV (~85%) buy lower 5/15 (~66%)	Front-dated gap risk into 4/15; requires neutral spot into front expiry to decay sold leg.
PMCC / LEAPS diagonal	Moderate-Strong	Buy 95–120d diagonal: buy 7/17 $135 call (60% IV) sell 4/15 or 5/15 $135 calls (higher IV) as structured collar against long shares	Large initial debit; rollover risk and assignment management needed.
Protective long-dated puts	Moderate-Weak	Buy 66d 6/18 $110 put for portfolio protection	Expensive but buys structural floor below $110 and limited counterparty supply.

Top Plays

Sell May 15 $125/$120 put spread (defined-risk premium)

Sell 5/15 125/120 put spread

Takes advantage of positive GEX pinning near $130 and MP $126 while collecting elevated short premium across multi-week thesis.

Credit: $0.40-$0.70

Max loss: $480.00

BE: $124.60

Mgmt: Take 60% of max profit; cut if spot <$121.25 or VIX>30.

Traders wanting defined-risk premium with 30–45 DTE.

Sell 4/22 Iron Condor 125/120P x 135/140C

Sell 4/22 125/120 put / 135/140 call iron condor

Front-dated iron condor sells elevated IV where GEX and MP create a tradable pin band; collects rich premium pre-expiry.

Credit: $0.80-$1.40

Max loss: $4.00

BE: 125 - credit or 135 + credit

Mgmt: Take 50–70% profit; hedge or unwind if spot <121.25 or >142.32.

Defined-risk income traders seeking short-dated decay.

Calendar (sell 4/15 buy 5/15) $130 call

Sell 4/15 $130 call, buy 5/15 $130 call

Captures steep front-short IV (~85% front vs ~66% 5/15) and benefits from pinning/mean reversion; positive carry if spot holds near $130.

Credit: $0.10-$0.40

Max loss: Option-debit difference

BE: Requires neutral spot; manage if front leg +15% move.

Mgmt: Close front leg on >$3 move in spot or if front IV collapses >10 pts; take 60% of max profit on calendar value peak.

Vol arbitrageurs and neutral traders wanting time-decay edge.

Watchlist Triggers

Entry Triggers

IFIf spot trades and holds $130.00 for 30 minutes → Sell 5/15 125/120 put spread

IFIf spot rallies to $135.00 and IV falls 5 vol-pts on 4/15 front → Sell 4/22 125/120P x 135/140C iron condor

IFIf 4/15 $130 front IV >5 vol-pts above 5/15 IV → Establish sell-front/buy-back-month $130 call calendar (sell 4/15 buy 5/15) at available mid spread

Adjustment Triggers

ADJIf spot falls and closes below $121.25 (2d EM lower) → Roll down sold put spread 125/120 to 120/115 or buy hedge (buy 4/15 119/117 put) depending on risk tolerance

ADJIf VIX >30 or USO ATM IV spikes >+15 pts vs today → Reduce short premium by 50% and buy protective 4/15 $129/$125 put spreads

Exit Triggers

EXITIf trade hits 60% of max profit → Take profit on short premium trades (iron condor/put spread) per management rules

EXITIf spot closes above $142.32 (1w upper EM) on daily close → Close all short-call structures and consider flipping to long calls/diagonals

Tactical Summary

Primary thesis: dealers' positive GEX (+$28.1M) is pinning USO into $130–$135 band; prefer selling short-dated premium and defined-risk put spreads with 30–45 DTE core trades and weeklies for tactical overlays; invalidation below $121.25 (2d EM lower) or sustained break >$142.32.

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This directional reflects the market close on April 13, 2026.

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Each report translates the same market-close options snapshot into a specific lens such as directional bias, premium-selling posture, flow quality, or earnings setup.

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These are interpretation layers, not execution guarantees. Validate the setup against chain liquidity, expected move, and exposure before sizing risk.

If the report conviction and the raw data disagree, slow down and resolve the mismatch before sizing risk.