Losing money on the expiry day is common.

It is the same for the sell signal as well The trend-following indicators can give out a buy signal, but the market begins to fall on the next bar.

If you use a chart for trading, you can be whipsawed on the expiry date.

Expiry day is a critical trading day as the market is quite volatile.

There are chances for error, which can be very beneficial. The effect can be very significant as there is no need to time entries with accuracy. However, when it comes to options trades, they are non-directional bets. In stock trading or futures trading, trades are generally directional. If you have a grip on the expiry day trading strategies, it is not difficult to go ahead with options trading near expiration. There are various expiry trading strategies that you can deploy to exploit options contracts. How to trade on Expiry day?įor options trading, you choose to trade in and around the expiry day. You only need to know the correct way to execute options trades and the right range between which the market will expire. It is safe to trade options on the expiry day. If the stock market is closed on a Thursday, the expiry day is the previous trading day.

Weekly expiries offer a lucrative opportunity for active traders. The weekly contracts expire every Thursday. In recent times, the Nifty and Bank Nifty Index also have a weekly expiry. Traders must settle their positions on or before the expiry day. In the Indian stock market, the last Thursday of the month is the expiry day for monthly futures and options.

Options daily chart