the key to success in zero tde spx option trading?
The key elements for success in zero days to expiration (0DTE) SPX options trading include:
Risk Management (Most Critical)
Never risk more than 1-2% of your account per trade
Set strict stop losses before entering positions
Have predefined profit targets and stick to them
0DTE options can go to zero extremely fast
Timing and Market Conditions
Focus on high-volume trading hours (9:30 AM - 11 AM and 2 PM - 4 PM EST)
Avoid trading during low-volume periods when spreads widen
Be aware of major economic releases and Fed announcements
Wednesday and Friday expirations tend to have the most activity
Technical Analysis
Use short-term charts (1-5 minute) for entry and exit signals
Pay attention to key SPX support and resistance levels
Monitor VIX for volatility expectations
Watch for momentum shifts and volume confirmation
Strategy Considerations
Scalping small moves works better than trying to hit home runs
Consider selling premium when implied volatility is elevated
Buying options works best during trending moves with momentum
Be prepared to exit quickly when the trade goes against you
Practical Execution
Use limit orders to control entry prices in fast-moving markets
Have your exit strategy planned before entering
Don't average down on losing positions
Take profits quickly - these options decay extremely fast
Mental Discipline
Don't chase trades or revenge trade after losses
Accept that many trades will be small wins/losses
Avoid FOMO - there are always more opportunities
The biggest challenge with 0DTE trading is that time decay and volatility crush happen rapidly, making it easy to lose money quickly even when directionally correct.