Tomorrow it begins

Zero DTE in equities launches tomorrow. Here's what I'm watching for.

Tomorrow, January 26th, zero DTE options launch in individual equities.

The contracts will be listed.

Volume will start shifting.

And the market is going to start pricing risk differently in these names.

Here's what I'm watching for:

1) How implied volatility prices these new expirations.

The market has to figure out how to price weekly risk in TSLA, NVDA, AAPL, and the rest.

That's going to tell us where the edge is.

Are the weekly expirations priced efficiently? Or is there mispricing we can exploit?

This is the kind of thing you can't see unless you know what to look for.

2) How gamma exposure shifts intraday.

New expirations mean new hedging flows.

Dealers are going to have to adjust their positions as retail piles into these contracts.

And that hedging creates movement.

If you don't understand the gamma dynamics, you're going to see price action that doesn't make sense.

But if you DO understand it, you can position ahead of it.

3) Whether the expected move compresses (like it did in SPX).

When zero DTE launched in the S&Ps, the weekly expected move became less relevant.

The daily expected move became everything.

I expect the same thing to happen in equities.

Which means if you're still trading these names based on weekly setups, you're a step behind.

Look, I've been trading zero DTE for years.

I watched it reshape the SPX and SPY.

And now it's happening in the biggest, most actively-traded stocks on the planet.

If you want to understand how to trade this... how to position around it... how to use it to your advantage...

We're three weeks in, but I reopened enrollment this weekend because this expansion changes the game.

You get full recordings of everything so far, plus access to all remaining sessions.

Tomorrow, the market shifts.

You can either be ready for it, or you can spend the next few weeks playing catch-up.

To your success,

Don Kaufman