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    Why does Gamma increase near expiry?

    Gamma increases near expiry because option premiums become highly sensitive to small market movements. As expiry approaches, Delta changes faster, causing option prices to move more sharply.

    If the market moves in the trader’s favour, Gamma increases Delta and can accelerate profits. If the market moves against the trader, Gamma reduces Delta and may increase losses.

    Gamma and Moneyness:

    - ATM Options: Highest Gamma, highly responsive and volatile

    - ITM Options: Lower Gamma, more stable

    - OTM Options: Lower Gamma, less responsive to market movement  

    What are different option Greeks? What are the benefits of Option Greeks? Which option Greek is most important for beginners? What option Greek is most used on Expiry days? Why do Option Greeks change frequently? Why do Option Greeks slightly differ across different broker platforms? How can I access Option Greeks on ICICI Direct? What are Option Greeks?