Expiry Premium Decay — Theta on Thursday
Weekly expiry premium decay curve and buyer/seller implications.
Curve
Theta accelerates into Thursday. Last 2 hours brutal for OTM buyers. Sellers collect unless gamma explodes.
Trade
Frequently Asked Questions
- Who is this guide for?
- Nifty and Bank Nifty option traders who want structured education around chain reading, OI, and risk — not signal tips.
- Can I trade from this article alone?
- Use it as education paired with live analysis on OptionTools. Paper trade or size down while validating ideas.
Key Takeaways
- Non-linear decay.
- OTM buyers beware 2 PM.
- Gamma risk for sellers.
Related Articles
- Best Expiry Day Strategy for Nifty & Bank Nifty Weekly OptionsThe best expiry day strategy framework — when to trade, when to stay flat, gamma and theta rules, max pain afternoon playbook, and risk sizing for weekly Nifty options.
- Theta: Time Decay in OptionsTheta erodes option premium daily — the hidden cost of buying Nifty and Bank Nifty options, especially in expiry week.