What Happens When a 0DTE Option Expires In the Money
The most consequential question in same-day options trading has a two-part answer that most explanations blur: what happens when your 0DTE option expires in the money depends entirely on whether it settles in cash or in shares. Get that distinction wrong and you can wake up owning stock you cannot afford. This is the complete, honest mechanics of expiration, auto-exercise, assignment, and the capital trap.