Options mechanics
What are Weekly Options (Weeklies) and how do they differ structurally from Monthly contracts?
By Easy Money Scanner · Educational reference · Not investment advice
The short answer
Weekly options (weeklies) are listed contracts that expire every Friday rather than only monthly, offering shorter time frames while sharing the same 100-share multiplier as standard monthly options.
How it works
Weeklies decay faster due to their compressed time frame, giving traders more frequent expiration cycles for short-term strategies but also less cushion for the underlying to move favorably.
An example
An XYZ weekly 50 call expiring this Friday decays through theta much faster per day than an XYZ monthly 50 call expiring six weeks out.
Risk & limitations
Weeklies often have lower open interest and wider spreads than standard monthlies, which can increase transaction costs and slippage, especially on less actively traded underlyings.
Examples are hypothetical, not trade recommendations. US contract and regulatory references do not automatically apply in Canada. Rules, margin requirements and broker policies can change; confirm them with the relevant authority and your broker.