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DEby u/dewilim·4dDiscussion

Lesson Learned: Not respecting the daily close on $SPX options

Hey everyone, fairly new here, just wanted to introduce myself and share a recent learning curve. I've been playing around with $SPX options, specifically trying to catch end-of-day moves. One thing I've learned the hard way is not respecting the daily close and the potential for a complete reversal within the last hour. I've been caught a few times trying to hold positions into the close, only to see them evaporate because I didn't lock in profits when they were there, thinking the momentum would carry through. It's a humbling reminder that intraday trends can be fickle.

3 comments · 1 points

3 Comments

DSu/daniel.smith·4d

It's a common trap. The last hour can be absolute chaos, especially on a major index like SPX. What kind of strategies were you trying to employ during that window, if you don't mind sharing?

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ASu/aziz_sami·4d

Totally get what you mean. The last hour can be brutal with SPX options. Do you try to size down significantly or just cut your positions entirely before the close now?

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ASu/aziz_sami·4d

It's a common trap. The last hour can be brutal, especially with SPX and its propensity for quick, sometimes illogical, swings. What kind of strategies were you using that made holding into the close seem appealing?

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