IV Average

[Nitin Bhatia]

Hello Sir,
As per my knowledge IV is basically %, means a ratio.
That means IV value can be represented in NUMERATOR/DENOMINATOR way.

My Question is if we have to average our IV we used to follow below formula
IV Avg=(IV1+IV2+….+IVn)/n

As suggested while calculating Delivery% we should not do average of any Ratio.
We should use formula like below

IV Avg=(NUM1+NUM2+…+NUMn)/(DENO1+DENO2+…+DENOn)

Request you to put some light on it, and tell us the exact method to calculate Avg IV or Weighted Avg IV.

[Nitin Bhatia]

From where you came to know iv is a ratio?

[Nitin Bhatia]

Check out nitin sir video. On option probability calculator.

[Nitin Bhatia]

As a thumb rule of any statistical analysis or mathematics, you cannot take average of percentage data points.

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