# 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.

{% embed url="<https://www.youtube.com/watch?v=b6qfQTgaOvs>" %}

Follow the [CTE playlist on youtube!](https://www.youtube.com/playlist?list=PLknW4ck8QlGCCnu7g2Re1znKjPYpIoNld)

Note: [CTE skips the open](#skip-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).&#x20;

Positive BL = <mark style="color:green;">Bullish</mark>

At the BL = <mark style="color:yellow;">Neutral</mark>&#x20;

Negative BL = <mark style="color:red;">Bearish</mark>

{% hint style="success" %}
Bullish or Bearish we want to follow price action to 3-strikes (yellow zone).
{% endhint %}

{% hint style="warning" %}
Neutral = no bias follow the breakout by trading EDGE / High WR alerts
{% endhint %}

RIGGED AI charts show this with the recommended or preferred alerts to trade.

[QQQ 12/19/24](https://app.rigged.ai/QQQ/2024-12-19)

<figure><img src="/files/NFsqMuKREKpKZNq63qpY" alt=""><figcaption></figcaption></figure>

There were multiple 1+ strike swings followed by BEAR BOMB / BEAR KTR alerts. Each one of these returned over 100%. The exit zone in red is where price bounced each time.&#x20;

***

### **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:

{% hint style="danger" %}
Do not chase price action, trade calls below the strike or puts above the strike.
{% endhint %}

There will always be more option alerts and entries.

[QQQ 12/11/24](https://app.rigged.ai/QQQ/2024-12-11)

<figure><img src="/files/njK5Xzlf2PmrcD1U5qzC" alt=""><figcaption></figcaption></figure>

Trade BULLS BL to +2, there's a nuke from 3-strikes to 2-strikes and they are perfect tags with price never lower.

***

### **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.

[SPY 12/13/24](https://app.rigged.ai/SPY/2024-12-13)

<figure><img src="/files/4UeQdGdNTs4HlzAxLAf6" alt=""><figcaption></figcaption></figure>

We get a swing and then BEAR KTR with each returning over 100%. Price then touches the yellow zone that says "BEAR RISK - BULL SWING ZONE". BULLS come in and price pumps higher.

Taking profit in the yellow is always a good idea.

Generally you can follow these rules:

{% hint style="warning" %}
Normal - hold to 3-strikes or 100%+, try to keep a runner
{% endhint %}

{% hint style="danger" %}
Nightmare - exit before 3-strikes or at any profit level
{% endhint %}

{% hint style="success" %}
Full Send - try to hold a large position until the end of the session (trend day)
{% endhint %}

**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](https://app.rigged.ai/SPY/2024-10-14)

<figure><img src="/files/SHDo6O3xE6dPcPujoEPy" alt=""><figcaption></figcaption></figure>

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

{% hint style="danger" %}
The open is the most difficult time to trade and not recommended for beginners!
{% endhint %}

[SPY 11/13/24](https://app.rigged.ai/session/2024-11-13)

* 09:50 - Price starts to nuke from the blue line
* 10:08 - Price has moved 2.5 strikes lower
* 10:35 - Almost the entire move is retraced

<figure><img src="/files/RvPrByiM3ufW5Ao2SVgK" alt=""><figcaption></figcaption></figure>

18 minutes to go down 2.5 strikes and then 27 minutes to retrace almost the entire thing.

This happens almost every day in the market.

***

### Trading the Open (Advanced)

Year to date the best performing 0DTE strategy for the open has been SPY & QQQ [EDGE ALERTS](/guide/win-rate-and-edge-alerts.md) with 50% WR and [Volume](/guide/volume-tradeability.md) over 110.

From 01/01/24 - 11/13/24 there are 68 trades and using the advanced strategy <mark style="color:yellow;">you're returning 56.07%.</mark>

<figure><img src="/files/6cjqnmssP0QDiNRP4Xel" alt=""><figcaption></figcaption></figure>

P\&L jumps to +66.46% if you only trade QQQ.

P\&L jumps to 117.36% if you only trade QQQ BEARS (24 results alerts).

Test this for yourself in [the playground.](https://app.rigged.ai/playground?preset=eJxVjT0LwkAYg_9L5lzJe6eD3RQP51oXKR2qPd0KrR-L-N-lVhGXJE8I5IEOOfq-d4fUDC615wTihLyCFnkQCNPbnUkSJ_0Ds2-C1rsIYh9LEHG9ieBcrFAUBWpiFZfbEqxqwsvPnMzJ8AEzZ2FcXcb3pr033TG1oKfR6JR5XodborIwhV8V6ucLSqEvww%3D%3D\&expiry_from=2024-01-01\&expiry_to=2024-11-13)

{% hint style="success" %}
Only trade EDGE ALERTS 50% WR VOLUME 110+
{% endhint %}

***


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.rigged.ai/guide/cte-0dte-trading-method.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.