10 Trades We Are Thankful For
tastytrade logo
WDIS: Options 101Let the Games Begin! | Jan 10, 2017
Up Next
    WDIS: Options 101Let the Games Begin!Jan 10, 2017


    Click here to download the WDIS: Options 101 Syllabus

    Being the overachiever that she is, Brittany decided to jump into the tastyworks platform over the weekend. She noticed that the more and more she clicked around the platform, the more and more anxious she grew. Dr. Jim reassured her that this anxiety will subside over the next few months. Brittany brought important questions to the table as well. Not before long though, Dr. Jim jumped right into today's materials.

    Brittany learned that in an option contract there are two parties whose desired outcomes are mutually exclusive, each wanting the opposite to happen to the other party. She also learned that in the world of options trading the lingo can be very confusing to a new trader. She knows now that she needs to create a thesaurus for all these new terms like long-buy, short-sell, SPY-spider, and so on and so forth. Brittany's important takeaway of the day is to grasp the understanding that the ability to "use" options rests on the long (buyer) side. Dr. Jim & Brittany went briefly over calls and puts, where she is starting to grasp the understanding of calls, though the puts are a little trickier. Dr. Jim informed her that this is very common amongst new option traders, and they would continue with this topic tomorrow.

    More like this

    tastytrade content is provided solely by tastytrade, Inc. (“tastytrade”) and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, transaction or investment strategy is suitable for any person. Trading securities can involve high risk and the loss of any funds invested. tastytrade, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. Investment information provided may not be appropriate for all investors, and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. tastytrade is not in the business of transacting securities trades, nor does it direct client commodity accounts or give commodity trading advice tailored to any particular client’s situation or investment objectives. Supporting documentation for any claims (including claims made on behalf of options programs), comparison, statistics, or other technical data, if applicable, will be supplied upon request. tastytrade is not a licensed financial advisor, registered investment advisor, or a registered broker-dealer. Options, futures and futures options are not suitable for all investors. Prior to trading securities products, please read the Characteristics and Risks of Standardized Options and the Risk Disclosure for Futures and Options found on 

    tastytrade is a trademark/servicemark owned by tastytrade.

    tastyworks, Inc. ("tastyworks") is a registered broker-dealer and member of FINRA, NFA and SIPC. tastyworks offers self-directed brokerage accounts to its customers. tastyworks does not give financial or trading advice nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of tastyworks’ systems, services or products. tastyworks is a wholly owned subsidiary of tastytrade, Inc (“tastytrade”).

    tastyworks, Inc. (“tastyworks”) has entered into a Marketing Agreement with tastytrade (“Marketing Agent”) whereby tastyworks pays compensation to Marketing Agent to recommend tastyworks’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastyworks. tastytrade is the parent company of tastyworks. tastyworks and Marketing Agent are separate entities with their own products and services. tastytrade has different privacy policies than tastyworks.

    Quiet Foundation, Inc. (“Quiet Foundation”) is a wholly-owned subsidiary of tastytrade The information on is intended for U.S. residents only. All investing involves the risk of loss. Past performance is not a guarantee of future results. Quiet Foundation does not make suitability determinations, nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of Quiet Foundation’s systems, services or products.

    © copyright 2013 – 2022 tastytrade. All Rights Reserved. Applicable portions of the Terms of use on apply. Reproduction, adaptation, distribution, public display, exhibition for profit, or storage in any electronic storage media in whole or in part is prohibited under penalty of law, provided that you may download tastytrade’s podcasts as necessary to view for personal use.