Recently, Leto Bao has been relatively active on X, continuously sharing a number of methodologies for trading US stocks. In particular, when responding to user questions, he mentioned his trading experience with US stock end-of-day options (0DTE), which sparked further market discussion about this kind of derivatives trading playbook.

According to his posts, in his early days he mainly traded US stock end-of-day options, with most trading opportunities concentrated in event-driven windows such as earnings reports. The basic approach was to buy option contracts nearing expiration, leveraging the relatively lower premium cost of these contracts and their heightened sensitivity to short-term price fluctuations. He then executed highly elastic trades at moments when directional views were relatively concentrated, and accumulated solid overall returns by quickly adjusting and rolling positions.
Later, this experience was further organized and circulated, and it also became a fairly typical case in market discussions of end-of-day options strategies.
End-of-day options and the retailing of complex derivatives
Focusing on end-of-day options themselves, as an option product that expires on the same day, their trading cycle is extremely short, their price fluctuations are intense, and the outcome is reflected very quickly. For ordinary retail investors, the biggest appeal of this type of product is that it allows them, at a relatively certain cost, to express their judgment on the direction of an asset’s price within a very short time window.
In fact, for a long time, options have been seen as tools for professional traders.