A positive risk reversal means the implied volatility of calls is greater than the implied volatility of similar puts, which implies a skewed distribution of expected spot returns composed of a relatively large number of small down moves and a relatively small number of large up moves.
A positive risk reversal means the implied volatility of calls is greater than the implied volatility of similar puts, which implies a'positively' skewed distribution of expected spot returns. This is composed of a relatively large number of small down moves along witht the possibility of few but relatively large up moves.