Modest premium pricing reflects range-bound uncertainty ahead of storage data, with implied volatility contained by heavy call selling above 3.15 and put selling below 2.75. The skew favors downside protection as traders position for weather-driven cooling demand fade, though realized volatility remains muted in the 15-cent recent range. Gamma concentration at 2.50–2.75 suggests dealers will resist downside breaks, while the 3.25 strike's 25k call open interest marks the ceiling until fundamentals shift.
Modest premium pricing reflects range-bound uncertainty ahead of storage data, with implied volatility contained by heavy call selling above 3.15 and put selling below 2.75. The skew favors downside protection as traders position for weather-driven cooling demand fade, though realized volatility remains muted in the 15-cent recent range. Gamma concentration at 2.50–2.75 suggests dealers will resist downside breaks, while the 3.25 strike's 25k call open interest marks the ceiling until fundamentals shift.