Im doing my final thesis about implied volatility. In the last section I am talking (not too much deep) about volatility surface. Im using the figure below to show the differences between the real surface and the BS model surface. I would like to explain what is "level" and "term" in the axis of the left one. Thanks. enter image description here

  • 2
    $\begingroup$ The two parts (a) and b) are intended to be comparable. Level is the same as strike, term is the same as (time until) expiration, implied vol is synonymous with volatility. It is unfortunate that the awkward wording can confuse a non professional observer. $\endgroup$
    – noob2
    Jun 4 '21 at 22:00

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