core · Lesson 4
Zero Gamma & the regime flip
The price level where dealer behavior inverts. · 4 min read
Zero Gamma (ZG) is the spot price at which Net GEX changes sign. Above ZG, the dealer book is net-long gamma — volatility gets suppressed. Below ZG, the book is net-short gamma — volatility expands.
Why this is a soft pivot
Crossing ZG doesn't move price by itself. What it does is flip the hedging behavior of the entire market from stabilizing to amplifying. The trading playbook above ZG (fade extremes, expect range) is the opposite of the playbook below (ride momentum, expect expansion).
How to use it
- If price is well above ZG with strong call wall above — expect compression into the wall.
- If price is fighting ZG from above — watch for a break-and-retest; vol can pop on a confirmed break below.
- If price is well below ZG — trade momentum; don't fade strength until structure changes.
ZG is recomputed continuously by Helios. As OI shifts and price moves, ZG migrates. Watch it.
Got a follow-up?
Ask Helios anything about this lesson — it knows your tier and current dashboard state.