Options

Learn about options trading, from how to place your first options trade to more advanced topics.

How to Hedge in a Volatile Market

Options hedging strategies allow investors to insure against market risk, although this protection comes at a cost. Find out how to hedge with options.

Comparing Index Options and Equity Options

Index options are typically used to hedge and speculate on broad swaths of the market, while single equity options track much narrower underlying assets. Both can have a place in a trader's toolkit.

Understanding the Gamma Squeeze

A gamma squeeze occurs through a combination of retail call buying, a rally in the stock, and market makers buying stock to hedge exposure, forcing the stock price up.

Options Strategy Spotlight: Long Call vs. Bull Call Spread

With so many bullish options strategies to choose from, how do you know which is right for your next trade? We'll compare two bullish options strategies in order to assist you with the decision-making process.

Three Things to Know About the Wheel Strategy

The options wheel strategy involves selling cash-secured puts, and if they're assigned, writing covered calls on the stock, which might be repeatable. Here are three things to know.

How to Use Walk Limit Orders for Options Trading

Schwab's proprietary Walk Limit orders for options automate the process of placing limit orders, increasing or decreasing the price for traders along the bid/ask spread.

Analyze Vertical Spreads with the Risk Profile Tool

Learn how to set up and analyze an options spread using the Risk Profile tool on the thinkorswim platform for more complex trades like vertical spreads.

Managing Cash-Secured Puts for Income Strategies

Cash-secured puts may generate short-term income or enable purchase of desired stocks at a favorable price. Know what to do if the cash-secured put doesn't work out as planned.

Set Up thinkorswim® Desktop for Options Trading

How to customize the thinkorswim® desktop platform especially for options—streamlining the option chain based on your trading style, setting up custom options screeners, and more.

Options Spread Orders on thinkorswim® Desktop

Learn how to create options spread orders on thinkorswim® desktop.