Weekly Options Explained
What are Weekly Options??
Weekly options are a GIFT from CBOE Chicago Board Options Exchange! For those skilled in momentum trading, we often get very excited for our short term swing or burst trading methods in order to take advantage of high deltas and cheap options close to options expiration. Traditionally we would have to wait a month to see this options phenomena happen. But now thanks to weekly options we can see this every single week!
Check this out from the CBOE: http://www.cboe.com/micro/weeklys/introduction.aspx
“WEEKLYSSM OPTIONS FROM CBOE:
Trade Expiration Week Every Week!
No one wants to wait. With Weeklys from CBOE, you don’t have to. Weeklys are options that expire at the ends of weeks. This flexibility can provide investors with more targeted trading opportunities and can help investors take advantage of market events, such as earnings, government reports and Fed announcements.
CBOE’s Weeklys options are currently listed on Thursdays and expire the following Friday. New Weeklys are listed each week except that no new Weeklys are listed that would expire during the expiration week for regular options (the third Friday of each month).”
For a list of weeklies (continually changing) go here at the CBOE: AVAILABLE WEEKLYS
So that’s the pitch from the creators of weekly options. Your brokers will have another pitch. And that’s great that weekly options have been brought to our attention. But… that’s not good enough and a broker and market maker pitch is not the one you need to hear for making money with weekly options!
Market makers want you to lose your money so they can keep it. Brokers just want you to trade as much as possible. But Options Trading Authority want’s you to Make, Keep and Grow your money. Of course we collect a small fee, relative to the opportunity for the course and we also want your success story so pin up on our hall of fame.