Source: https://mochatrade.com/learn/glossary/iv-crush

# IV crush
URL: https://mochatrade.com/learn/glossary/iv-crush
Last modified: 2026-10-17

IV crush is the drop in an option's price when the uncertainty it was charging for disappears, typically the morning after results. A ₹150 call can be worth ₹130 after a 3% move in your favour, because [you paid for a bigger move than you got](https://mochatrade.com/blog/mocha-markets-weekly-12-oct). It is the option side of [why good numbers produce a falling stock](https://mochatrade.com/learn/us-market-structure/us-earnings-explained).

## Related terms

- Expected move: https://mochatrade.com/learn/glossary/expected-move
- Call option: https://mochatrade.com/learn/glossary/call-option
- Implied volatility: https://mochatrade.com/learn/glossary/implied-volatility
- Index futures (E-mini S&P 500): https://mochatrade.com/learn/glossary/index-futures
- Guidance (earnings guidance): https://mochatrade.com/learn/glossary/guidance
- Earnings season / earnings report: https://mochatrade.com/learn/glossary/earnings-season-earnings-report

Educational content only. Not investment advice. Leveraged products magnify losses as well as gains.
