If you are looking to buy and Sell options after hours, this step-by-step guide is the right one for you.
You will learn what type of options you can buy and sell after hours, how to do it to make money consistently and the pitfalls to avoid so that you can continue to take your trading account to the next level.
Table of Contents
Can You Buy Options After Hours?
The simple answer to the question Can you buy Options after hours is that it really depends on your broker.
In theory, you can buy and sell ETFS options in the 15 minutes after hours window each day Monday through Friday.
However, I have heard so many disheartening stories from traders on how some brokers simply do not allow them to take advantage of this opportunity.
Here is a summary table of which brokers gives you this extended window to buy and sell options contracts after hours on the main ETFS: SPY, QQQ, IWM and DIA just to name these leading ones.
|Brokers After Hours Options Trading Policy||Yes/No|
|Can you Buy Options after Hours on ETRADE?||Yes|
|Can you Buy Options after Hours on Webull?||Maybe|
|Can you Buy Options after Hours on Robinhood?||No|
|Can you Buy Options after Hours on TD Ameritrade?||Yes|
|Can you Buy Options after Hours on eOption?||TBD|
Can You Sell Options After Hours?
Once you are able to buy options after hours in the extended 15 minutes window from 4pm EST to 415EST, you can sell them for profit or carry them if your Expiration date is still in the future.
On Tuesdays and Thursdays, there is no expiration pending at 415pm therefore we can carry our options to the next Day .
You ought to be careful on how to manage your overnight positions because there is no guarantee the stock will continue in the same direction the next day.
Can all stocks Options be traded after hours?
Not all stocks have options that you can trade after hours.
In fact, as of now, only the main ETFS such as SPY, QQQ, IWM and DIA offer you the ability to trade their options during after-hours.
Can you Buy and Sell SPY Options after hours?
Prior to May 2021, SPY after hours options trading was the only after-hours strategy I was using.
Ever since, I have a new favorite ETF I prefer to buy and sell options with after hours.
There is nothing wrong with buying and selling options after hours with SPY.
It is just that my new best ETF pays more, and I have been focusing on it ever since May 2021.
Care to find out which one it is?
Read below please.
My Best Options to Buy and Sell After Hours
When Should you Trade QQQ Options after hours?
You should trade QQQ Options after hours whenever there is a binary event taking place that can impact QQQ price.
Such events are mostly Earnings from the Top 8 companies of QQQ.
Here is a recent table summarizing how the top technology companies Earnings Release impact the after-hours price of QQQ.
|After Hours DATE||QQQ After Hours Movement||Reason for after Hours Volatility|
|April 19 2022||QQQ from $346 to $342||#NFLXEarnings [-20%]|
|April 20 2022||QQQ from $341 to $343||#TSLA Earnings [+5%]|
|April 26 2022||QQQ from $317 to $313||#GOOG Earnings [-6%]|
|April 27 2022||QQQ from $317 to $321||#FB Earnings [+13%]|
|April 28 2022||QQQ from $328 to $324||#AMZN Earnings [-10%]|
Why You should Trade QQQ Options After Hours
The main reason why you should trade QQQ Options after hours during Earnings season or FOMC statement is because very cheap options can quickly make you a lot of money.
A $2 move after hours on QQQ stock price especially on Expiration Day can easily bring you over 100% in a matter of a few minutes.
We have a very cheap Strategy that can yield big returns.
What’s not to love?
Here is a recent QQQ option chart we captured showing how the puts contracts appreciated after hours from 86 cents to $1.86.
How To Buy and Sell QQQ Options after Hours
I am able to provide these insights on how to trade QQQ options after hours because of the many trades I have been in since 2014.
This has enabled me to gather a great deal of statistics which that many traders in my Discord room are leveraging now.
And so can you.
I teach my traders a very powerful after-hours options trading strategy.
We know that we an buy and trade QQQ Options each all the way to 4:15pm EST.
The concept is to focus on the 3 Expirations for QQQ Options: Mondays, Wednesdays and Fridays.
Because on those Days, the closer we get to that time of closing, the cheaper QQQ options are.
This means that you will not have to invest too much money in this strategy.
You will focus on contracts that are less than 15-20 cents.
By my empirical data, 15 minutes before 4PM official market closing, we can buy QQQ options $2 strike away for less than that amount.
We do this for both Calls and Puts.
Then a $2 move on QQQ stock rice up or down from 345pm to 4:15pm will make either the Calls or the Puts contracts explode for multiple baggers like 200%, 300% etc…
Here is a video example of this technique we use on SPY Options after hours but the principle is exactly the same for QQQ options after hours.
QQQ After Hours Options Trading Performance Tracker
One of the best advice I can provide you right now is your trading journey is to treat it as a business.
As such, business keep records of the performance of their products or systems.
In our case, our trading strategies is what we must evaluate and assess over time.
This is to make sure we are not blinding throwing money away.
Therefore, I am offering you this free Options Tracking Performance spreadsheet.
You will use it to track the performance of your QQQ after hours Trading Strategy over time.
Every 3 months or so, you should re-evaluate it to either scale back or up on this investment.
FINAL THOUHGT ON BUYING AND SELLING OPTIONS AFTER HOURS
I showed what, when and how you can buy and sell options after hours.
One stocks options we use to trade after hours during volatility events such as FOMC and Earnings is QQQ.
I invite to join our Discord Room today to further increase your understanding of afterhours options trading.
Click Below to Join The 10-Baggers Trading System Today.
Hold a Master Degree in Electrical engineering from Texas A&M University.
African born – French Raised and US matured who speak 5 languages.
Active Stock Options Trader and Coach since 2014.
Most Swing Trade weekly Options and Specialize in 10-Baggers !
YouTube Channel: https://www.youtube.com/c/SuccessfulTradings
Other Website: https://237answersblog.com/