About this episode

Eric O'Rourke discusses an XSP 0DTE trade strategy and market analysis in this episode.

In this week’s Stock Market Options Trading Podcast, I break down an XSP 0DTE trade I entered at the market open and how I was able to turn the position into a risk-free trade after the market moved in my favor. We’ll walk through the trade structure, why I started with an in-the-money call credit spread, and how adding the opposing spread converted the position into an Iron Condor with no remaining downside risk. I also take a first look at CBOE’s newer Magnificent 10 Index (MGTN), an equal-weighted index featuring the Magnificent 7 plus Broadcom, Palantir, and AMD. We’ll look at why cash-settled index options are interesting for traders, along with the biggest issue with MGTN right now: liquidity. Plus, this week’s episode covers: • The current SPX market setup and important gamma levels • What I’m watching as the market trades below 7700 • This week’s major economic and employment reports • Tuesday’s SPX Opening Range Breakout statistics • The return of the X Files segment The goal is always the same: use data, backtesting, and market statistics to find practical ways to trade the S&P 500 and index options. 📊 Learn more about Alpha Crunching and our SPX trading tools…

People in this episode

Host: Eric O'Rourke

Topics covered

• options trading
• risk management
• market analysis
• economic reports
• trading strategies
• index options

Mentioned in this episode

Organizations: CBOE, Alpha Crunching

Products: Magnificent 10 Index (MGTN), SPX, Iron Condor, 0DTE, XSP

Places: S&P 500

More episodes of Stock Market Options Trading

• 196: Building a Winning Options Trading Portfolio · August 24, 2026 · 10 min
• 195: The Friday-to-Monday SPX Edge · August 17, 2026 · 8 min
• 194: Does Gamma Move the S&P 500? What SPX Traders Should Know · August 10, 2026 · 15 min
• 193: Markets Rebound, SPX Gamma Levels, and a 76% Win Rate Options Strategy · August 3, 2026 · 9 min
• 192: This Week in Options Trading | Market Outlook & Options Strategies · July 27, 2026 · 18 min

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