Why this checklist helps
Many journal entries cover entry and exit details but skip the expiration window where decisions can become reactive. Tracking expiration week steps gives you better context for the weekly review process and cleaner comparisons in a performance review.
Expiration week checklist
- Position inventory confirmed. List all contracts expiring this week and verify size, strike, and days-to-expiration.
- Planned action written before the open. Define whether you expect to close, roll, hold, or allow expiration under specific conditions.
- Assignment and exercise risk reviewed. Note contracts with meaningful assignment exposure and connect to your assignment workflow.
- Liquidity check completed. Review spread width and expected execution quality before placing closing or rolling orders.
- Risk and capital impact logged. Record max loss or buying power impact if price moves against the position before expiry.
- Execution and outcome documented. Capture fills, final decision rationale, and one lesson learned for your next cycle.
Suggested journal fields
| Field | Why it helps | Example |
|---|---|---|
| Expiration plan | Makes decisions reviewable | Close at 50% max profit or by Thursday close |
| Assignment risk note | Prevents surprises | Short call near ITM, monitor close daily |
| Liquidity note | Improves execution review | Spread widened after lunch session |
| Final action | Supports process tracking | Rolled one week out for net credit |
| Post-expiry takeaway | Builds repeatable learning | Should have set earlier alert at 21 DTE |
Common expiration week mistakes
- Waiting until the last trading hour to decide without a pre-written plan.
- Ignoring assignment exposure on short options until after the close.
- Skipping fill-quality notes, which makes execution review less useful.
- Treating expiration decisions as exceptions instead of part of your normal journal process.
Process tip: Put your expiration plan into your journal before the session starts. A short plan reduces reactive decisions and improves review quality.
Related guides
Pair this page with the entry checklist, adjustment checklist, roll decision checklist, and exit checklist for a full trade lifecycle workflow.
FAQ
Should I review expiration risk daily during expiration week?
Yes. Contract exposure can change quickly as time value decays, so daily checks keep your decisions aligned with your plan.
Is this checklist only for short premium strategies?
No. It is useful for long options and spreads too, especially when you want consistent records of closing decisions and timing.