Options in 3 minutes
The quick tour before your first options contest.
3 min · Beginner · Lesson 1 of 17
Step 1 of 5
Calls and puts
An option is a contract on 100 shares of a stock. A call gains value when the stock rises above its strike price; a put gains value when the stock falls below its strike. Each one has an expiration date.
The price of an option is its premium, quoted per share. One contract at $2.50 costs $250.
Terms in this lesson
For entertainment and education, not investment advice.