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r/optionsr/options· u/Soggy_Builder_84· 6d ago 0

Scaling a strategy before becoming too big to start causing issues

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User asks about liquidity limits and market impact when scaling a 0DTE options strategy to hundreds of contracts.

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I trade exclusively 0dte, I think I have a legit working and mathematically sound strategy, (I know I know, que the eye rolls and snarky remarks, I get it.) I’m not on here trying to sell anybody anything or to give out my “tips” to some holy grail strategy.

My simple question is, when would scaling become an issue? Meaning what would be considered “too big” to the point where I would start running into issues of getting filled in large orders? Or placing such large orders I start moving the market?

Say I trade spreads and condors for example. Would I be able to scale say 100 contracts with ease? 500?, would 1000 contracts start causing issues?

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