Triple Witching Hour

Written By
Paul Tracy
Updated November 4, 2020

What is Triple Witching Hour?

On the third Friday of every March, June, September, and December, contracts for stock index futures, stock index options, and stock options all expire at the end of the day. The triple witching hour is the final trading hour on those days.

How Does Triple Witching Hour Work?

During the triple witching hour, many traders move to close and hedge their options and futures orders before expiration. Because of the massive volumes and quick movements in every direction (e.g. calls and puts) on a variety of investment instruments, the market can become volatile and unpredicable in the short term. 

Why Does Triple Witching Hour Matter?

The high volumes seen during the triple witching hour can lead to increased volatility, presenting opportunities for some traders. A trader with a variety of short-term securities that could be affected by the triple witching hour must know the risks and strategies to mitigate them. Otherwise, it may be wiser to opt out of the market during triple witching hour events.

Activate your free account to unlock our most valuable savings and money-making tips
  • 100% FREE
  • Exclusive money-making tips before we post them to the live site
  • Weekly insights and analysis from our financial experts
  • Free Report - 25 Ways to Save Hundreds on Your Monthly Expenses
  • Free Report - Eliminate Credit Card Debt with these 10 Simple Tricks
Ask an Expert
All of our content is verified for accuracy by Paul Tracy and our team of certified financial experts. We pride ourselves on quality, research, and transparency, and we value your feedback. Below you'll find answers to some of the most common reader questions about Triple Witching Hour.
Be the first to ask a question

If you have a question about Triple Witching Hour, then please ask Paul.

Ask a question

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

If you have a question about Triple Witching Hour, then please ask Paul.

Ask a question Read more from Paul
Paul Tracy - profile
Ask an Expert about Triple Witching Hour

By submitting this form you agree with our Privacy Policy

Don't Know a Financial Term?
Search our library of 4,000+ terms