I believe that when it comes to options the closing price is based on the close of AH trading. There was a post about 1 year ago about GOOG and during regular hours the options in question were out-of-money and the poster thought he was safe - but during after hours GOOG moved up and his options become in-the-money and he was exersised the following Monday. This was on the last Friday for trading options, like today.
It is NOT based on AH but for equities on Market close and Index depending on AM or PM settlement. Call your broker ASAP
why do people post information they don't know is beyond me. just as bad, why do people not go to the original source for simple information like this??? what is worst, people trading instrument they don't know!!!
Yes I remember that GOOG debacle, but AH trading is not the basis for the closing price. I think the closing price is the last trade of the normal trading day. However the QQQQ normal day ends at 4:15, not 4:00 hence the basis of my question. I never found out the answer as I managed to unwind my position. BTW, as the GOOG debacle illustrates the closing price is not conclusive to whether or not you will be exercised. In my case I had some long contracts and wanted to know if they would be automatically exercised or not (the new 5 cent rule). Don
US equity options expire on the third Friday of each month. However, market-makers can wait until the following morning to exercise their options.
actually options expire saturday. for a practical matter most retail traders would have no way to exercise saturday but big player can do it. i have read stories where news came out after the friday close and people were able to exercise. "The expiration date is the last day an option exists. For listed stock options, this is the Saturday following the third Friday of the expiration month. Please note that this is the deadline by which brokerage firms must submit exercise notices to OCC; however, the exchanges and brokerage firms have rules and procedures regarding deadlines for an option holder to notify his brokerage firm of his intention to exercise. This deadline, or expiration cut-off time, is generally on the third Friday of the month, before expiration Saturday, at some time after the close of the market. Please contact your brokerage firm for specific deadlines. The last day expiring equity options generally trade is also on the third Friday of the month, before expiration Saturday. If that Friday is an exchange holiday, the last trading day will be one day earlier, Thursday. "