Here’s a riddle: Suppose you want to measure the impact of OI on price movement, but unlike intraday trading you have no insight whether a trade was initially bought or sold by a dealer. How would you gauge the bot/sold distribution?
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Dealer OI is the sum of all dealer trades since the contract started trading. So I would build a model of dealer OI from intraday trades (assigning each one to dealer long/short) and use the daily OI numbers as a sense check.
The squeezemetrics article on GEX alludes to this without explicitly saying it.
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I discussed this approach in another subthread, and it becomes correct eventually**, but isn't really an efficient approach (and also relies of course on correct intraday assignment).
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I don’t know how you expect to get an idea of dealer positioning *without* going to trade data.
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