How to use the Options Payoff Analysis agent skill

What is an agent skill and what does this one do?

An agent skill is a folder containing a SKILL.md file. The file holds instructions and methodology that an AI agent loads when a request matches the skill's description. This skill is the file SKILL.md, named options-payoff in its metadata.

Once installed, the agent can describe single-leg and multi-leg option strategies, including spreads, straddles, strangles, butterflies, condors, calendar and diagonal spreads, ratio spreads, covered calls, protective puts and collars. It can explain Black-Scholes pricing, the Greeks (Delta, Gamma, Theta, Vega and Rho) and implied volatility inversion, and it can explain what a strategy earns or loses at different prices and expiry dates.

Install the options-payoff skill

Download the ZIP of the skill from this page. Then install it in one of two ways.

For Claude Code, unzip the file into ~/.claude/skills/ to make it available in all your projects, or into a project's .claude/skills/ folder to limit it to that project.

In the Claude apps, open Settings, go to Capabilities, and upload the skill under Skills.

• Personal install: unzip into ~/.claude/skills/
• Project install: unzip into the project's .claude/skills/ folder
• Claude apps: Settings → Capabilities → Skills → upload

Trigger the skill with natural requests

You do not need a special command. Describe the position or the question in plain language and name the strategy, the strikes, the expiry and the premiums where you have them. The skill's description covers payoff diagrams, breakeven calculation, multi-leg visualization and Greeks-based scenario analysis, so requests on those topics are the ones it is meant to handle.

Include the details the agent needs to be specific: the underlying price, strikes, whether each leg is long or short, days to expiry and what you paid or received per share.

• Explain the breakevens and max profit of a bull call spread with strikes 100 and 110, paid 3 net.
• Walk me through an iron condor on a stock at 50 with puts at 45 and 47 and calls at 53 and 55.
• How does the Theta of an at-the-money straddle change in the last 10 days before expiry?
• What is the implied volatility of a call priced at 4.20 with spot 100, strike 100 and 30 days left?

Use the options_payoff tool for calculations

The skill itself is methodology. For numbers, it tells the agent to call the options_payoff tool from the Vibe-Trading framework. The tool is not included in this skill folder, so you need the framework to use it.

The agent passes signed legs, where a positive quantity is long and a negative quantity is short, along with the entry spot and days to expiry. You can also pass actual per-share premiums, a multiplier, commission, chart bounds and implied volatility scenarios. The tool returns an expiry curve, a spot by implied volatility scenario matrix, and breakeven and max-risk results that do not depend on the display grid containing every strike.

• legs: signed quantities (qty > 0 long, qty < 0 short)
• entry_spot and expiry_days
• Optional: premiums, multiplier, commission, chart bounds, IV scenarios

Safety notes: scripts, network and trading limits

This skill runs no scripts and uses no network access. It is a methodology document. Its stated constraint is that it is for research and backtesting only, and the agent is told not to output live trading instructions.

Model outputs are estimates. Black-Scholes assumes constant volatility and European exercise, and real markets violate both assumptions. Results also depend on the premiums, volatility and dividend inputs you supply, so check those before relying on any figure.

Tips for better results

Give the agent exact numbers rather than rough ideas. Ask for the payoff at expiry first, then for the effect of time and volatility, which keeps the explanation in order.

Check the agent's arithmetic against a second source, especially for multi-leg positions where a sign error is easy to make. Confirm each leg is marked long or short as you intended.

• State each leg with its strike, type (call or put) and sign
• Include premiums per share and the expiry date or days remaining
• Ask for the reasoning behind a number, not only the number