Explore 10 essential options strategies every investor should know, from basic calls and puts to advanced spreads, risks, rewards, and real-world use cases explained.

Key Takeaways An option is a contract giving the buyer the right—but not the obligation—to buy (in the case of a call) or sell (in the case of a put) the underlying asset at a specific price on or ...

Options trading can be complex, and the trading jargon may confuse even experienced investors and traders. Two of the most common options contracts to understand are call and put options. Here’s what ...

A strangle is a popular options strategy that involves holding both a call and a put on the same underlying asset. It yields ...

Forbes contributors publish independent expert analyses and insights. Making wealth creation easy, accessible and transparent. Options allow you to make money in the stock market regardless of whether ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

The call vs. put distinction can be confusing to options-trading beginners. Here’s what you need to know about the difference between puts and calls. Many, or all, of the products featured on this ...

Call options are a type of option that increases in value when a stock rises. They’re the best-known kind of option, and they allow the owner to lock in a price to buy a specific stock by a specific ...

An option is a contract that allows the buyer to buy or sell shares of stock at an agreed-upon price. Investors can get outsized returns by using options instead of simply owning stocks. Be forewarned ...

Selling puts is an oft-overlooked option trade that can pair well with long-term investing strategies under certain circumstances. Many, or all, of the products featured on this page are from our ...

Investors in Ciena Corp (Symbol: CIEN) saw new options become available today, for the December 2026 expiration. One of the key inputs that goes into the price an option buyer is willing to pay, is ...