0DTE Options
0DTE options are contracts on their final day before expiration ('zero days to expiration'). In indices like the S&P 500 they trade in enormous volume, and because their gamma is extremely concentrated near the current price, dealer hedging of 0DTE flow can strongly shape intraday moves.
Major index options such as SPX now list expirations every trading day, so on any given day a large share of volume is in contracts expiring that afternoon. Because an option's gamma peaks as expiration nears and price sits near the strike, 0DTE positions carry outsized hedging sensitivity for their size.
That concentration is why 0DTE flow features so prominently in intraday structure: pinning, sharp late-day moves, and rapid regime changes are often amplified by dealers hedging same-day gamma. Reading 0DTE positioning is central to understanding why an index behaves calmly one hour and violently the next.
0DTE analytics describe structural tendencies, not predictions. They explain the mechanics behind intraday behaviour; they do not forecast direction and are not trading advice.
Frequently asked
Why are 0DTE options so influential despite expiring the same day?
Their gamma is concentrated near the current price, so a large 0DTE position requires disproportionate dealer hedging, which can move the underlying intraday.
Are 0DTE options riskier than longer-dated options?
They carry very fast time decay and large gamma, so their value can change quickly. This page is educational and not a recommendation to trade them.
Related terms
This term is part of a bigger picture: Gamma Exposure, Explained — the complete guide →