Over the past several years one of the biggest changes for the option trading market has been the addition of weeklies. Having an option series that expires every week as well as being able to buy those two, three, and four weeks from expiration has given traders more agility in adjusting their time frames for different option strategies. These options can be particularly useful around earnings release  times now enabling traders to actually just play the weekly for whenever earnings are released in a particular underlying. For the nondirectional trader, who puts on positions allowing for some movement in either direction, as long as it’s not too much they have also been a way to get quicker theta and have a position become profitable for you sooner. Obviously, you have much quicker time decay  with an option that is expiring in a week or two then an option that you may have sold it’s not expiring for 40 or 50 days. Still, there needs to be a balance between shorter-term option plays and longer-term option plays. For the trader who wants to put all of his trading capital into trading weekly options there’s a real risk because of the increased […]