For the past few months, I have been testing different ES futures contract strategies. Many of them function similarly to SPX options—making them relatively easy to understand if you’ve ever traded same-day or next-day expiration SPX options.
Trading options for ES futures provide many advantages:
1) There is no Pattern Day Trader restrictions.
2) You can trade ES futures options 24/7, excluding from 5 PM Friday to 6 PM Sunday.
3) You eliminate the overnight risk.
4) Margin requirements are lower.
Now, I will show you some of my favorite trades (step-by-step), and teach you how to trade options on ES futures. As a trader trading SPX 0DTE or 1DTE with less than 25K in your account and worried about being flagged as a PDT, there are no restrictions when it comes to trading options on /ES futures..