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Kundan Motwani

20th Apr · SEBI-Registered Analyst

Option Trading Strategy on Expiry day

1. Trend-Based Buying (Momentum Days) Best when market is strongly trending. • Buy ATM or slightly ITM CE/PE • Enter on breakout + volume • Exit quickly—don’t wait till expiry end 👉 Works well on trending days, fails in sideways markets. 2. Option Selling (Range-Bound Days) Best when market is moving sideways. • Sell OTM CE & PE (Short Strangle/Iron Condor) • Benefit from theta decay (time decay) • Keep strict SL—expiry spikes can be brutal 👉 High probability, but risk management is everything. 3. Breakout Scalping (Expiry Volatility) Best during sudden moves near expiry. • Trade only clear breakout levels • Quick in & out (scalping mindset) • Avoid overtrading 👉 Expiry gives fast moves—but also fast traps. 4. Hedge Strategy (Safer Approach) If you want controlled risk: • Use Spreads (Bull Call / Bear Put) • Limited risk + defined reward • Lower stress compared to naked buying/selling Key Rules for Weekly Expiry: • Don’t trade all day—focus on high-quality setups • Avoid holding losing trades (premium decay is fast) • Position sizing is crucial • First 1–2 hours & last hour = most volatile Simple Truth: Expiry doesn’t forgive mistakes. If you’re undisciplined, it will expose you fast. But with the right setup + strict risk control, it can be one of the most rewarding trading opportunities.

#IndexStrategies#TechnicalViews#PsychologyofMoney#PersonalFinance
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