Hello Hive,

Hope you are doing well. :)

This is my trade from yesterday, Wednesday 16. I sell options on SPX, whis is S&P 500. (top 500 stocks on NYSE) I only sell on 0dte days.. that means zero days till expiration.. the options expire at the end of the day in which I sell them.

One of the first things I look at is the marketwatch indicator..

This indicator is only found on my broker's platform (TD Ameritrade: thinkorswim). As I thought it would be, there is a mix of red and green which signifies that price is moving in a mix of up and down.

There is some big news scheduled to come out later that morning, and the market is usually unsure of which way to move until it's announced. (the big news was FOMC minutes which stands for Federal Open Market Committee.. people are super skittish and the market can quickly jump up or down after such news)

Here's my order which I sold earlier than usual, so I would have extra breathing room for the trade by the time news came out..

You can see from this snap how price was in a tight (non-decisive) range all morning. Nothing much would be happening until news release.

As time moved on, much of nothing happens and I marked each hour mark and where news would hit..

News approaches..

BOOM!

Some turbulence as news hit..

I drew in my safety zone (green dashed lines) and I had plenty of room. But price could make some sudden moves and stop me out fast.

Price decides to move up and I'm starting to maybe think about getting nervous.. :P

Here is the final snap I took 1 minute after market end. You can see how it didn't continue it's climb, but just ranged since the last snap.

(note: I like it when price just kinda stays at a certain level, since my safety zone gets wider as time goes on.. this is the slow decay of the option I sold)

End result for this trade:

$110 (2 contracts sold at $55) - $8.40 (exchange+broker) = $91.60

Do you have any questions for me or maybe a comment for me? Thanks,

:)