Is Time Decay Getting Enough Attention in Your Options Strategy?

An option’s premium can change even when the underlying market does not move as expected. Time to expiry, volatility, and other pricing factors can influence the outcome.

A systematic options workflow can incorporate predefined time-based conditions, exit rules, and risk limits. However, automation cannot eliminate market risk or guarantee a profitable result.

Let’s discuss: Do you account for time decay directly in your strategy rules, or do you mainly focus on price movements?