are financial contracts that give you the right—but not the obligation—to buy or sell an asset at a set price within a specific timeframe.
: The deadline by which you must exercise your right, or the contract becomes worthless. ⚠️ The Golden Rule of Risk option
: The cash fee you pay to purchase the option contract. are financial contracts that give you the right—but
: The right to buy an asset. You buy a call if you expect the price to go up. : The right to buy an asset
Options provide massive leverage, but they are highly volatile. Industry studies frequently show that a vast majority of retail options traders lose money due to a lack of knowledge and poor risk management. Never invest money you cannot afford to lose!
: The fixed price at which the contract allows you to buy or sell the asset.