Can't post a pic visualizing what I'm saying so I hope u get it
Let's face facts here.....options aren't what they were in 2020/2021, and most people likely lost their asses off on options during 2022 with maybe a handful of good plays if you were lucky, but there's a reason why SPY options went from M.W,F to M-F....I'm sure if the market makers could get away with it, they would sell weekend contracts too. That's how much they're making in premium....but I have figured out their trick.
I'm not sure how these brokerages get away with forcing people out of their contracts a whole 2.5 hours before your contract technically expires on expiration day. They close you out of you contracts as part of their options risk management, wherein they buy your contract back for $1 30 minutes before close, and then right after they buy everybody's contracts, they rocket it up to make the contracts worth more than they bought it for...even if it's just a dollar. That's how stingy these bastards are....but they always set the trap on the front end and the back end...
For example, the SPY will have closed red, the next morning it will shoot up for 15 minutes (or drop if it's the opposite trade), then at 15 mins in, the reversal happens to where it rips up. The purpose for the sharp rise at open was to trap call buyers, then the drop is to trap put buyers, and then it will bounce between the a 2 dollar range so nobody wins. Then at 1:45-2:00 CST, the stock will rocket (unless it's the opposite trade) and this is to get people to rush in for a daily, or attempt to average down. Then at 2pm CST or 2:15 CST, they reverse it to clap everybody that just got in, and continue to drop it until 2:30 CST when they steal everybody's options at the cheapest value, and THEN it pops, and then they reset the trap the next day......
BUY YOUR OPTIONS EXPIRING TOMORROW TODAY, AT 2:30CST OR 3:30 EST, WHEN MARKET MAKERS MAKE 'EM CHEAP TO BUY FOR THEMSELVES, AND SELL IN THE FIRST 15 MINS THE NEXT DAY/DAY OF EXPIRATION! This is using their own game against them. Or at least, if you can't beat 'em, join 'em.
Don't believe me? At 2:30, add a tomorrow exp. the next, prolly within the first 5 strikes or 2 standard deviations, add it to your watchlist and then check the value from 2:30-3/close, and then check the value in the morning. Once more people catch on, just like fun options, they'll take it away. Test it and use it while you can.
I'm not sure how these brokerages get away with forcing people out of their contracts a whole 2.5 hours before your contract technically expires on expiration day. They close you out of you contracts as part of their options risk management, wherein they buy your contract back for $1 30 minutes before close, and then right after they buy everybody's contracts, they rocket it up to make the contracts worth more than they bought it for...even if it's just a dollar. That's how stingy these bastards are....but they always set the trap on the front end and the back end...
For example, the SPY will have closed red, the next morning it will shoot up for 15 minutes (or drop if it's the opposite trade), then at 15 mins in, the reversal happens to where it rips up. The purpose for the sharp rise at open was to trap call buyers, then the drop is to trap put buyers, and then it will bounce between the a 2 dollar range so nobody wins. Then at 1:45-2:00 CST, the stock will rocket (unless it's the opposite trade) and this is to get people to rush in for a daily, or attempt to average down. Then at 2pm CST or 2:15 CST, they reverse it to clap everybody that just got in, and continue to drop it until 2:30 CST when they steal everybody's options at the cheapest value, and THEN it pops, and then they reset the trap the next day......
BUY YOUR OPTIONS EXPIRING TOMORROW TODAY, AT 2:30CST OR 3:30 EST, WHEN MARKET MAKERS MAKE 'EM CHEAP TO BUY FOR THEMSELVES, AND SELL IN THE FIRST 15 MINS THE NEXT DAY/DAY OF EXPIRATION! This is using their own game against them. Or at least, if you can't beat 'em, join 'em.
Don't believe me? At 2:30, add a tomorrow exp. the next, prolly within the first 5 strikes or 2 standard deviations, add it to your watchlist and then check the value from 2:30-3/close, and then check the value in the morning. Once more people catch on, just like fun options, they'll take it away. Test it and use it while you can.
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