Hi folks. I am trying to understand if there is overnight risk for 0DTE SPX credit spreads that are OTM at close. In general I try to buy back the short leg at 0.05 but recently an order didn't fill by 4. I called my brokers support and he basically said don't worry about it.
I am seeing what I think is conflicting info online. I saw an article on Tasty Trade that said settlement is based on the opening price of SPX the next morning I have seen other posts that said for 0DTE it settles on price at close. I do get alerts overnight indicating the position has closed. I would like to have a correct and solid understanding here so appreciate any guidance.
Posted by gclifton
1 Comment
Regular monthly expirations, 3rd Friday of each month, expire to AM print Friday AM.
All others expire to PM print.