To The Moon

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Scraping Same-Day Premium on QYLD: 0DTE Cash-Secured Put

Today I executed a 0-day-to-expiry (0DTE) cash-secured put on QYLD to capture a small, high-probability premium. The strike was $16.66 with spot trading around $16.86 at entry, and I collected a $0.02 premium per share.

Trade snapshot

• Underlying: QYLD

• Position: Short put (cash-secured)

• Strike / Spot at entry: $16.66 / $16.86 (OTM by ~$0.20)

• Premium received: $0.02 ($2 per contract)

• Breakeven at expiry: $16.64 (strike $16.66 − premium $0.02)

Why this works

• Time decay is maximal on expiry day; tiny OTM puts can decay to zero rapidly if price remains stable.

• Collateral efficiency: On $1,666 collateral per contract, the gross daily return is 0.12% (30% annualized if repeated daily; purely illustrative and not a forecast).

• Defined plan: Either the option expires worthless or I’m comfortable owning QYLD at an effective cost near $16.64.

Risk controls & realities

• Assignment risk: A late-day dip below $16.66 leads to assignment; I size positions assuming ownership.

• Gamma & headline risk: 0DTE moves can be sharp; I monitor spreads and tape into the close.

• Friction costs matter: Liquidity, spreads, and commissions can erode a $0.02 edge; I only take it when fills and exit routes are clear.

• Exit discipline: If volatility spikes or price challenges the strike, I buy back the option rather than “hope” into the bell.

Process

This is part of a broader income framework: disciplined position sizing, willingness to own the underlying, and strict execution rules—useful for scraping modest, repeatable premiums while keeping downside plans explicit.

As an investor, I position myself as a disciplined learner in the markets, focusing on covered calls and cash-secured puts under the framework of my “Options Puppy” journey. With a background in accounting studies, I have developed a strong foundation in financial analysis, capital allocation, and risk management.

My core strategy is built on financial freedom through stable income streams, beginning with the reliability of Singapore government bonds, while enhancing returns through options premium generation and Tiger Vault strategies. This dual approach balances long-term security with short-term cash flow, enabling me to service housing loans and meet daily living expenses without financial strain.

Ultimately, I believe in applying freedom rules: disciplined capital management, prudent expenditure control, and a clear distinction between needs and wants. This mindset allows me to grow sustainably, stay resilient in volatile markets, and work towards lasting independence

Feel free to ask questions 

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