Weekly Recap SPX Option Trading for week ending 4/11/2025

We ended this week with +2% ROM in our SPX Spread Trader and no trades in any other strategy. So, it was basically a flat week for us. Periods of extreme market volatility and unusually high 0DTE (zero days to expiration) option prices are rare—but they do occur. We saw a similar situation in 2020, when the Daily Outlook experienced nearly a month of little to no trading activity due to unfavorable market conditions. However, at that time, we were still able to generate trades using the Spread Trader strategy. Unlike directional trades, the Spread Trader is not negatively impacted by elevated option premiums, which is why we were able to see trading opportunities with that strategy this past week despite the volatility.

At SPX Option Trader, we prioritize smart, strategic trades over constant action. When option premiums are inflated or market gaps are unusually large, the risk-to-reward ratio becomes unfavorable. Entering trades under these conditions means overpaying for contracts and facing unpredictable price swings. Even when our forecasts are spot-on, the cost of entry may not justify the potential return. That’s why we sometimes sit on the sidelines—because protecting capital is just as important as growing it.

We firmly believe that no trade is better than a forced trade. Chasing setups that don’t meet our strict criteria can lead to unnecessary losses and emotional decision-making. Our long-term success is built on consistency, discipline, and patience. By staying out when the odds aren’t in our favor, we preserve our edge and position ourselves for stronger opportunities ahead. It’s not about trading every day—it’s about trading smart every time.

Don’t let the recent market swings shake your confidence—this is where day trading truly shines. As day traders, we’re not exposed to overnight risk, so those big after-hours moves don’t affect our accounts. When market conditions aren’t ideal, we have the flexibility to step aside and wait for better setups. And they will come. Once option prices stabilize, we’ll be ready to jump back in and resume trading with our proven strategies. We look forward to what next week will bring!