I’ve been thinking about this lately. I mostly stick to regular trading hours, but I notice some action after market close.
Do any of you trade options after hours? Is it worth the risk or should I just trade during regular hours? I’m curious if the spreads change much.
You can trade options after hours, but volume decreases significantly. Spreads widen. This negatively impacts your fills and potential profits. Regular hours offer better trading conditions.
Trading options after hours is possible, but it’s risky. You face lower liquidity, which leads to wider spreads and worse fill prices. Most profits come from trading during regular hours when there’s higher volume. Only consider after-hours trading if major events happen like earnings reports or significant news. Focus on mastering your strategy during regular trading hours first to keep things straightforward.
Got burned hard doing this with Apple options during earnings two years back.
Spread was so wide I lost money even though I nailed the direction. Never again.
Now I close everything before 4pm to dodge that nightmare.
After-hours options trading is tough. Many brokers restrict retail traders from engaging.
There was one time I attempted it, and the spreads were ridiculous. Orders took ages to fill, and even with favorable stock movement, those large spreads wiped out any potential gains.
Stick to regular trading hours. There is more volume and tighter spreads, which makes it easier to profit when your predictions are correct.
Made $45 profit after hours last month but spreads were brutal honestly