calculate_max_pain

Calculate the max pain price for an options expiration. Max pain is the strike price where option holders (buyers) experience maximum loss, and option writers (sellers) experience maximum profit. Many traders believe prices gravitate toward max pain as expiration approaches.

Server Mcp Financex xerktech/mcp-financex
Category Read
Risk class Low
Parameters 00 required

What calculate_max_pain does on Mcp Financex

AI agents call calculate_max_pain to retrieve information from Mcp Financex without modifying anything — typically the context-gathering step in research, monitoring, and reporting workflows, before the agent takes action elsewhere.

Why calculate_max_pain needs a policy

The tool retrieves options data and performs mathematical analysis to derive a metric used by traders for decision-making. It has no side effects on data, accounts, or market state. While the server as a whole provides financial information, this specific tool is purely computational and informational, making it a Read operation.

From the tool's definition Tool performs calculation of 'max pain price' for options expiration. Description indicates it computes a theoretical price level based on options data, with no modifications to market data, positions, or financial accounts.

Questions about calculate_max_pain

What does the calculate_max_pain tool do? +

Calculate the max pain price for an options expiration. Max pain is the strike price where option holders (buyers) experience maximum loss, and option writers (sellers) experience maximum profit. Many traders believe prices gravitate toward max pain as expiration approaches. It is categorised as a Read tool in the Mcp Financex MCP Server, which means it retrieves data without modifying state.

How do I enforce a policy on calculate_max_pain? +

Register the Mcp Financex MCP server in PolicyLayer and add a rule for calculate_max_pain: allow, deny, rate-limit, or require approval. Point your MCP client at the PolicyLayer proxy URL and the rule is enforced on every call, before it reaches Mcp Financex. Nothing to install.

What risk level is calculate_max_pain? +

calculate_max_pain is a Read tool with low risk. Read-only tools are generally safe to allow by default.

Can I rate-limit calculate_max_pain? +

Yes. Add a rate_limit block to the calculate_max_pain rule in your PolicyLayer policy. For example, setting max: 10 and window: 60 limits the tool to 10 calls per minute. Rate limits are tracked per agent session and reset automatically.

How do I block calculate_max_pain completely? +

Set action: deny in the PolicyLayer policy for calculate_max_pain. The AI agent will receive a policy violation error and cannot call the tool. You can also include a reason field to explain why the tool is blocked.

What MCP server provides calculate_max_pain? +

calculate_max_pain is provided by the Mcp Financex MCP server (xerktech/mcp-financex). PolicyLayer sits as a proxy in front of this server to enforce policies before tool calls reach the server.

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