SPX 0dte Income Trading - Feb 9’22 4605/4610 Bear Call Spread
SPX 0dte Income Trading - Feb 9’22 4605/4610 Bear Call Spread
💡 Feb 9’22 4605/4610 Bear Call Spread
$85 Premium Received (per contract)
87% Probability of Profit (at entry)
10:10 AM Time of Entry
Were finally coming out of negative gamma with inversion of 4550, when this happens we tend to see low volatility, dampening action due to dynamics of option dealers. CPI will be released tomorrow, highly anticipated and will most likely dictate direction for the coming weeks. 4600 is a significant gamma level with large call positioning and will act as resistance. We may grind higher today but I don't see the market reclaiming the 4600 level.
WHAT IS 0DTE TRADING?
0dte or zero days to expiration refer to the last trading day for an option contract. The Chicago Board Options Exchange ( Cboe ) lists weekly options on the S&P 500 Index (SPX) with expirations every Monday, Wednesday, and Friday. Since most options expire worthless we take advantage of this by selling credit spreads to collect premium. Our option trading strategy allows us to profit if the market moves up, down or doesn't move at all.
✅ Consistent Cash Flow
✅ High Probability of Profit
✅ No Overnight Risk
💡 Feb 9’22 4605/4610 Bear Call Spread
$85 Premium Received (per contract)
87% Probability of Profit (at entry)
10:10 AM Time of Entry
Were finally coming out of negative gamma with inversion of 4550, when this happens we tend to see low volatility, dampening action due to dynamics of option dealers. CPI will be released tomorrow, highly anticipated and will most likely dictate direction for the coming weeks. 4600 is a significant gamma level with large call positioning and will act as resistance. We may grind higher today but I don't see the market reclaiming the 4600 level.
WHAT IS 0DTE TRADING?
0dte or zero days to expiration refer to the last trading day for an option contract. The Chicago Board Options Exchange ( Cboe ) lists weekly options on the S&P 500 Index (SPX) with expirations every Monday, Wednesday, and Friday. Since most options expire worthless we take advantage of this by selling credit spreads to collect premium. Our option trading strategy allows us to profit if the market moves up, down or doesn't move at all.
✅ Consistent Cash Flow
✅ High Probability of Profit
✅ No Overnight Risk