Blew my account on 0DTEs, spent the week building the tool that might have saved it

u/jtm_ind · Reddit — r/algotrading · March 23, 2026 at 20:13 · ⬆ 17 pts · 💬 52 comments  | View on Reddit ↗
AI Summary

Summary

  • The author blew their account trading 0DTE puts based on news "vibes" and theta decay.
  • To fix their situational awareness, they built a tool to track real-time session highs/lows of individual SPY and QQQ components, theorizing that equal-weight breadth divergence precedes market-cap weighted index moves.
  • Quality assessment: Speculation/Noise. The author is trading an unbacktested theory immediately after blowing up their account.
Score 17
Comments 52
Upvote % 63%
Full Post Text
Ideas
u/jtm_ind Reddit r/algotrading
Market-cap weighted indices can mask underlying weakness or strength in individual components. When a critical mass of individual stocks quietly make new session lows, the broader index tends to lag before catching up to the downside (and vice versa). Monitor real-time high/low breadth of SPY components to time short-term 0DTE directional trades. Extreme theta decay on 0DTE options, false signals in choppy markets, and the strategy is completely unbacktested.
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This Reddit post, published March 23, 2026, features u/jtm_ind discussing SPY. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/jtm_ind  · Tickers: SPY