Does anyone have experience with monthly options?

Does anyone do monthly options or it is hard to predict the market moves over the course of 4 weeks, so stay away from monthly options?

If anyone does this, can you tell the advantages and disadvantages?

:question: :question: :question:

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Weekly options have very short time till they expire, so premium is also lower than the corresponding monthly one, i think that is one of the reasons they are preferred.
They also help to go with short term moves.

One more advantage is more choice of expiration date, so flexibility to build a strategy. More people are trading this so highly liquid.

Go with monthly option if you prefer more hands off approach. Also the premium decay is a bit slower than weekly ones, so i can see an advantage for buyers who like to catch a big trend without the hassle of getting in every week.

I dont know more than this. Hope this helps a little bit.

Please don’t predict, only react.
Predicting is bad for consistent returns.

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Loos like it.

Maybe strategies can be built around monthly ones too.

And as we approach the final week, there would be more liquidity.

Yes, need to observe though.

Guessing and predicting are part of markets, not that they will happen, but they can be part of possibilities.


They can be but there is more flexibility as there are more option choice in weekly, you get three more for one monthly.

That was just a free advice.

I am not an overall profitable trader, but i can tell you what i do regarding these options, for higher time frame trades i use monthly options and for lower i use weekly.

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As opposed to what? :roll_eyes:

:question: :question: :question:

Weekly options can be much more lucrative! Sharper movements to capture volatility effectively, 4 expiries…

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Of course.

But are there not advantages with monthly options, not even risk wise, like lower risk?

@VijayNair @t7support @AlgoEye @Jason_Castelino

Come on guys, you have got experience, shed some light :roll_eyes:

There are many strategies that can be done with monthly and weekly options together. But, It’s always more exciting at the weekly level.

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You mean volatility :roll_eyes:

Can you tell the advantages and disadvantages of monthly options?

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Weekly options are better in most aspects imo.

  1. Monthly options are a part of the 4 weekly options. thats one :stuck_out_tongue:
  2. They are great to hedge futures - buy futures and sell call type trades.
  3. Good for “covered calls”.
  4. Time decay per day is less for monthly options.
  5. They have more time value. A good delta move changes the option value much lesser than what it would a weekly option.


OTM Options don’t have a lot of decay in monthly options. (40-25 days before the expiry)
ITM Options behave like Futures and have very little liquidity and the bid-ask gaps are high like 40-50 pts.

If markets have made a sharp move, I like to take a month-long strangle in BNF and short weekly BNF options to compensate for the decay lost in the monthly options.

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@VijayNair @jashjacob

Thank you :+1:

For me weekly is better.

Typically it has 2x time value than monthly. Also four expiries to play with. Option sellers looking to eat away time value would be delighted.

Weeklies have more acceleration. So ideal for momentum trading. On expiry day naked buy side risk reward is really great although at lower POP. Option buyers would be delighted.

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@GB26 weekly or monthly unless you are into selling you wont make any profit .

  1. get capital for selling .
  2. never predict the market even god cannot do this .
  3. play on both sides to get margin benefit
  4. take only far options ex: since market is around 18000 , Now am selling 19400-19600 ce february first week options .
  5. options are best possible tools avialble for sure and secure returns but dont get greedy beyod 2-3% monthly return .In that way you will earn 24-36% per annum . which is a decent return and chances you will become millionaire in long run .
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@t7support @siva0

Thank you, will look into what you have said.


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I do mix of both. As you know I basically do cash secured puts and covered calls. I usually go for 2 months away contracts. For good premium.
Then depending on which side the market has tilted I sell weekly OTMs.

Let’s say I have sold 17k cash secured put feb month end expiry and for my portfolio covered call is sold at 19.5k. It market goes towards 17k and if my position is currently in red, I sell weekly calls of 18.5k. By the time the monthly put comes back to green, the week gets over and I keep the full premium I got on selling weekly calls. If weekly calls come in red I again sell weekly puts. It’s a lot of firefighting that has to be done.

Tuesday and Thursday I sell strangles in finnifty and nifty and I keep changing strikes almost every half an hour.

Today started with 17700pe and 18400ce. And at the end I was at 17950pe and 18050ce.


Ya, looks like it :grin:


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Did you do this today as premiums were not melting and move closer or usually how you play straddles on expiry like that? How you manage gamma in such situations?and how many points were you able to capture today?