Weekly options are listed on Thursday’s and they expire the following Friday offering traders new strategic opportunities. For instance, a Covered Call Strategy may allow the investor to take advantage of short term time decay. Instead of selling a 30 day call against a stock you already own as a means of generating income, how about selling a weekly. The last week of an option has the most time decay. If your covered call trade is successful, do you want to get paid once a month or each week? Selling weekly options will out-perform the sale of a monthly option because of the accelerated time erosion as expiration approaches.
Another potential trade would be purchasing weekly call or put options in anticipation of earnings. Although these weeklys may be somewhat pricey due to higher implied volatility in advance of the earnings release, they would most likely not be as expensive if the option purchase was made days or weeks earlier.
Weekly options may allow investors to take advantage of all sorts of market moving events. Complete listings of which stocks, indexes and ETF’s offer these short termed options are listed here: http://www.cboe.com/micro/weeklys/availableweeklys.aspx