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Still parsing this... and just thinking out loud. BTW, I indicated SPY Wednesday in my previous post, but I meant to say SPY Monday expiry. So the coming SPY Monday 435 Calls 0.99 Delta vs the 442 Call's 0.43 Delta: Pertaining to what you are calling the "real question," it sounds like 1 x...

Do you only trade 0-DTE... Or do you also trade 1-DTE, but don't hold overnight?

If you are bullish, and looking at where the SPY Wednesday options are now, that would mean buying the 435 call's high delta, instead of the 442 call's high gamma, and paying over 5x the premium, so one 435 call vs five 442 calls?

That is fascinating and appears to be the missing link for day trades. Thank you for taking the time to write all this up.

Thank you for the explanation. So... when you look at quotes on options chains available on the 'Net and it shows IV @ 0.20, you can't actually consider that low (as in: at/below 0.2 is low, at/above 0.8 is high), you have to compare it to the RV (realized) in order to make that determination...

Exactly!! Only he claims options will give a better return, percent-wise, than futures, yet he also says he knows nothing about futures. From what I can tell, if the day trade margin requirements for ES are in the 400/500 dollar range, I don't think it's possible. However, if your broker...

Since I'm not an options guy, I know you're dying to hear my suggestions. lol And looking at your position, earlier today, you were down 85 points, still down 70 points as I write this. Where is your threshold for pain? Seriously, though. I trade MES, as well, and in my near future, I foresee...

Not gonna happen. If he wouldn't respond to the scenario I presented, using his own comments as a setup, he certainly isn't going to start and post to a journal. https://www.elitetrader.com/et/threads/how-to-short-the-s-p-using-options-day-swing-puts.361465/page-12

Good luck. I pretty much told him the same thing. lol

LOL... it's always the little things that get you. Thanks for the explanation because I was stumped.

Hmmm... gotta think about that. Okay… I read a little more on options…. Just enough to get me into more trouble! If we’re coming up to the close, and I’m holding a 0-DTE option that is ATM or OTM, the intrinsic value (any positive difference between the strike price and spot price of...

Thanks for the correction.

Oh, wait a minute... They have value because they are ITM... so maybe a trader who wants to be long/short SPY at that strike, would buy them in order to get exercised and be long/short SPY at that strike? Maybe? I would think ATM/OTM would be of no interest to anyone, which means I would lose...

Okay, now you've given me head work to do! Let me digest this. Thank you, as well. Some of what you said would require an account with a pretty hefty balance, especially if you are trading multiple options contracts. The reason for my question was because, if I tried this, I wouldn't want to...

\ Thank you. The example from the other poster indicated 10 options contracts, that is where the 1000 shares came from. So no problem selling ITM SPY options all the way to close, but since they are 0 DTE and expire at the close, who would buy them because, at that point, they are worthless...

SPX and SPY each have their own options. I believe SPX options are American and settle to cash, and SPY options are European and settle to shares (or something like that).

I'm not an options person, either. I'm almost as confused as you are. And no one answered my question on Page 8, which would have helped un-confuse me, at least a little.

It was shorthand for @SPX Options Trader. Settle down, you're getting overheated.

Hey, it was a joke, as was mine.

That's because he is a "day trader." You are not a "day trader." SPX does not have to have sex with Greeks. You will have to have group sex with a lot of Greeks. SPX does not have your answer. Dest has your answer.