How To Buy Options ⟶

Buying options allows you to speculate on a stock's price movement with less capital than buying the shares outright, but it comes with a high risk of losing your entire investment if the stock doesn't move in your favor before the contract expires.

: Select a broker that supports options, such as Fidelity , Tastytrade , or Charles Schwab . how to buy options

: Use a Straddle (buying both a call and a put at the same strike) if you expect a massive swing but aren't sure of the direction. 3. Select Contract Details Use an Option Chain on your platform to pick: Buying options allows you to speculate on a

: The price you pay. Remember, one contract represents 100 shares , so a quoted price of $2.00 actually costs $200 . How to Trade Options: A Beginner's Guide - Tastytrade How to Trade Options: A Beginner's Guide - Tastytrade