🧠CTE 0DTE Trading Method

This is a simplified version that makes RIGGED AI super easy to use and understand.

CTE stands for; Check, Trade, Exit.

Check BL for bias
Trade matching alerts
Exit at 3-strikes

You will be shocked at how well it works, something like 85% of SPY sessions. CTE works because most of the time, price moves to 3-strikes (average intraday move).

Once we get to 3-strikes, strategy changes, but more on that later.

Note: CTE skips the open because it's difficult to trade and not recommended.

Check BL at 1030

Following the open session, we check the BL value (distance between price and the open price).

Positive BL = Bullish

At the BL = Neutral

Negative BL = Bearish

Bullish or Bearish we want to follow price action to 3-strikes (yellow zone).

Neutral = no bias follow the breakout by trading EDGE / High WR alerts

Trade Matching Option Alerts + KTR

Checking BL gives us bias, now we want Wall Street's option flow to confirm the bias.

The most important thing:

Do not chase price action, trade calls below the strike or puts above the strike.

There will always be more option alerts and entries.

Exit at 3-Strikes (Yellow Zone)

This is the first place we want to take profit.

When price first touches the yellow zone it will either:

instantly push through to +/- 4
violently swing back the other way

The first one is very good for your trade and the second is very bad.

Taking profit in the yellow is always a good idea.

Nightmare - exit before 3-strikes or any profit level

Normal - hold to 3-strikes or 100%

Full Send - try to hold some of the position into the red zone

Take profits in the yellow (or earlier) whenever tradeability is red or yellow.

Summary:

Check BL at 10:30 for bias

Trade option alerts that match the bias

Exit at 3-strikes (yellow zone)

Next let's look at some examples of the system working as designed.

Positive BL = Bullish

SPY 10/14/24

1030 - BL +2.23 (very bullish)

11:03 - Pullback to BL +2.00 and KTR fills

Price grinds higher the entire session, exit to runners in the yellow zone.

Skip the Open

The open (930 - 1030) is when we see the most volatile price action with price quickly moving up or down before completely reversing within minutes.

This happens almost every day in the market due to things like:

Pre-market change: if we open significantly higher or lower than the previous close
Overnight news & reports: markets will react to CPI reports, earnings releases, geopolitics
Positioning for the session: if Wall Street is setting us up for a massive pump, they love to nuke the price first