Appearance

Personalize your experience

Mode
Accent Color
Direction
Expiry Decision — Roll, Expire or Deliver

Expiry Decision — Roll, Expire or Deliver

SFO

Run for every short option at the configured time before expiry.

Roll credit = next-expiry at the roll − current premium (per unit). buys back the expiring option and sells the next-expiry one with the same lots.

ConditionShort putCovered call
Roll credit ≥ minimum (and next ≥ minimum)RollRoll
Out of the moneyExpire — keep , re-sell next expiryExpire — keep , lower cost
In the money, no worthwhile rollTake delivery (Delta: buy )Give delivery (Delta: sell )
!
Caution:Indian brokers commonly require full contract or auto-square-off ITM stock during expiry week. Use a day before expiry if your broker does this.

Related articles

Related to Expiry Decision — Roll, Expire or Deliver

  • SFO Delivery

    Automation / Predefined Strategies / SFO Wheel

    The ITM put is held through expiry and assigned at the strike; the shares arrive in demat (usually T+1). The engine reconciles holdings until the shares…

  • SFO Wheel — Overview

    Automation / Predefined Strategies / SFO Wheel

    Grids of cash-secured puts and covered calls, joined by a roll-or-deliver decision at every expiry.

  • SFO Contract & Expiry

    Automation / Predefined Strategies / SFO Wheel

    Underlying per lot (NSE lot size) or per contract (Delta: BTC 0.001, ETH 0.01). Quantity, cash secured and P&L all use lots × this.

  • Cash-Secured Put Grid

    Automation / Predefined Strategies / SFO Wheel

    0 = at the money (nearest strike), k = the k-th strike below spot.

  • Covered Call Grid

    Automation / Predefined Strategies / SFO Wheel

    The first listed strike ≥ max(spot, net cost × (1 + minimum gain)), plus the offset.

  • Reading the Wheel Preview

    Automation / Predefined Strategies / SFO Wheel

    Expiry timeline, put table and covered-call table explained.

  • SFO Capital, Orders & Risk

    Automation / Predefined Strategies / SFO Wheel

    A put is only sold if strike × quantity fits within max capital × (1 − reserve). Auto-filled from the grid until edited.

  • SFO Particulars

    Automation / Predefined Strategies / SFO Wheel

    Zerodha, Shoonya, AliceBlue, Flattrade. The underlying is an NSE F&O stock; its options are physically settled.

  • Step 3 — Symbol

    Automation / Strategy Builder / Wizard Steps

    The trading context: broker, segment, instrument, timeframe and session mode. These choices decide what data exists, what order types are available, and…

Browse all knowledge base articles →