This is a proprietary measurement of the total amount of gamma in the underlying asset. 

Why does the SpotGamma Gamma Index matter?

A large positive figure estimates future volatility is low. A large negative figure indicates volatility may be high.  The range is from 4 to –4.

How to use the SpotGamma Gamma Index

Where there is a large positive reading, traders may elect to play smaller moves in markets, and estimate that current prices are well supported by options market maker hedging. A large negative reading infers much larger price movement and rapid directional changes. We provide an estimate of this volatility with our “SG Implied 1 Day Move” metric.

Subscribers can locate each day's Gamma Index in the Daily Founder's Notes.