Cheapest options with daily expiry?

[shMark]

That's something an option professional cam answer. I just started playing these type of options about 6 months ago

My guess is the premium is higher. Monthlies pay more than quarterlies, and weeklies pay more than monthlies.

 

[wxytrader]

Do you mind posting your list? We all then could try to complete the list.

Any other ones with daily or every other day? Why aren't daily's offered for stocks like tesla, nvda, aapl, amzn, msft, amd etc?

https://www.barchart.com/options/volume-leaders/stocks

I'm referring to stocks with daily expirations, not weekly expirations.

IWM (2 days)
SPY (daily)
QQQ ( daily)
XSP (daily)
SPX (daily)

 

[shMark]

My guess is the premium is higher. Monthlies pay more than quarterlies, and weeklies pay more than monthlies.

On an annualized basis of course.

 

[Quanto]

No spreads. Never give back premium to hedge...premium is the hedge.

Hmm. Regarding Spreads you should study this example (by TDA) comparing a CSP to a PutSpread:

Vertical Spreads: Lower Margin Requirement Hurdle to Target Capital Efficiency
...
In this example, turning the cash-secured put into a put vertical spread lowered your potential profit by $25, but reduced your margin requirement by a whopping $12,890 per contract.
...
Bottom Line on Selling Single-Leg vs. Vertical Spreads
Capital preservation and capital efficiency are two cornerstones of options trading. By vastly reducing a margin requirement, you’re making funds available for your next trading opportunity.
...

W/o Spread (ie. CSP) the MarginReq is $13,290.
Using a PutVerticalSpread instead of the CSP drops the MarginReq to just $400 (!) only.
You give up only $25 of the potential profit of $110 to achieve such a huge reduction in MarginReq.
IMO it's a good deal.

But then maybe not, when trading 0DTE with StopLoss orders.

 

[S2007S]

My guess is the premium is higher. Monthlies pay more than quarterlies, and weeklies pay more than monthlies.

Oh yes because you are going further out. I don't know if you want to lock in a higher premium but not having available funds to use else where. ..I only go out a day maybe a few days but focus on the daily instead.

 

[S2007S]

I'm referring to stocks with daily expirations, not weekly expirations.

IWM (2 days)
SPY (daily)
QQQ ( daily)
XSP (daily)
SPX (daily)

It's been too long. They need to get more daily expiring options on this list. Even highly traded etfs for all sectors.

 

[Quanto]

We all are on the same wave Let's meet next year as some RichyBoyz...

 

[wxytrader]

Hmm. Regarding Spreads you should study this example (by TDA) comparing a CSP to a PutSpread:

W/o Spread (ie. CSP) the MarginReq is $13,290.
Using a PutVerticalSpread instead of the CSP drops the MarginReq to just $400 (!) only.
You give up only $25 of the potential profit of $110 to achieve such a huge reduction in MarginReq.
IMO it's a good deal.

But then maybe not, when trading 0DTE with StopLoss orders.

Yes but reducing the margin doesn't increase how much of the underlying I can afford to get assigned.

 

[Quanto]

Yes but reducing the margin doesn't increase how much of the underlying I can afford to get assigned.

If you trade index options then no assignment, b/c these are European style (no early assignment, and no underlying stock, ie. is cash settled like what the PnL chart shows at exp for the index value).

 

[wxytrader]

If you trade index options then no assignment, b/c these are European style (no early assignment, and no underlying stock, ie. is cash settled like what the PnL chart shows at exp for the index value).

I want to get assigned.