To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video. Check the background of TD Ameritrade on FINRA's BrokerCheck. Options are not suitable for all investors as the special risks inherent to option trading may expose investors to potentially rapid and substantial losses.

Please read Characteristics and Risks of Standardized Options before investing in options. Not all account owners will qualify. Market volatility, volume, and system availability may delay account access and trade executions. Spreads, straddles, and other multiple leg option strategies, such as butterflies and condors, can entail substantial transaction costs, including multiple commissions, which may impact any potential return.

Seminars

These are advanced option strategies and often involve greater risk, and more complex risk, than basic option trades. Entering multi leg option orders requires the appropriate level of options trading approval in your account. Futures and futures options trading is speculative, and is not suitable for all investors.

Please read the Risk Disclosure for Futures and Options prior to trading futures products. Trading privileges subject to review and approval.

Tier 3 options privileges at TDAmeritrade : options

Not all clients will qualify. Because they are short-lived instruments, Weekly options positions require close monitoring, as they can be subject to significant volatility. Profits can disappear quickly and can even turn into losses with a very small movement of the underlying asset.

The risk of loss in trading securities, options, futures, and forex can be substantial. Clients must consider all relevant risk factors, including their own personal financial situation, before trading. Delta is a measure of an option's sensitivity to changes in the price of the underlying asset.

Successful virtual trading during one time period does not guarantee successful investing of actual funds during a later time period as market conditions change continuously. We suggest you consult with a tax-planning professional with regard to your personal circumstances.

GainsKeeper is the registered trademark of Wolters Kluwer Financial Services, Inc. GainsKeeper is a registered service mark of GainsKeeper, Inc. TD Ameritrade and GainsKeeper are separate, unaffiliated companies and are not responsible for one another's products or services. Minimum qualification requirements apply. Portfolio margining is not available in all account types. Please consider your financial resources, investment objectives, and tolerance for risk to determine if it makes sense for your individual circumstances.

Carefully read the Portfolio Margin Risk Disclosure Statement , Margin Handbook and Margin Disclosure Document for specific disclosures and more details. Barron's is a trademark of Dow Jones, L.

Advisory services are provided exclusively by TradeWise Advisors, Inc. A subscription to TradeWise Advisors will include a monthly fee. For more information, please see the ADV 2 on www. Please consult other sources of information and consider your individual financial position and goals before making an independent investment decision.

Past performance does not guarantee future results. Past performance of a security or strategy does not guarantee the security or strategy will be successful in the future.

Access to real time data is subject to acceptance of the exchange agreements. Professional access and fees differ. This is not an offer or solicitation in any jurisdiction where we are not authorized to do business. Log in to your account 2. Go to Client Services, then "My Profile" 3. Watch video for help. Log in to your account.

Go to Client Services, then "My Profile. To trade options you need to understand options. From calls and puts to greeks and condors, you have to be able to talk the talk to walk the walk. Let us help you get more comfortable with trading options—by providing you the information you need to help turn your trading plan into an action plan. An option is a contract to buy or sell a specific financial product such as a stock at a specific price, over a specific period of time.

There are two types of options—calls and puts. And two sides to every option trade—buyers holders and sellers writers. A buyer pays the seller a premium for the right to exercise the option, and the seller is obligated to sell or buy the underlying stock at the option's strike price should the buyer decide to exercise.

Sell the call for more than you paid for it. Sellers writers Obligated to sell a stock Short Calls Stock price is less than the strike price. Keep the premium received. PUTS Buyers holders Right to sell a stock Long Puts Price of the put rises as the price of the stock falls.

Sell the put for more than you paid for it. Sellers writers Obligated to buy a stock Short Puts Stock price is greater than the strike price. CALLS Buyers holders Sellers writers Right to buy a stock Obligated to sell a stock Position: Short Calls Desired Result: Price of the call rises as the price of the stock rises.

Stock price is less than the strike price. PUTS Buyers holders Sellers writers Right to sell a stock Obligated to buy a stock Position: Short Puts Desired Result: Price of the put rises as the price of the stock falls. Stock price is greater than the strike price. More on options at TD Ameritrade. Weekly options When market changes happen due to current events, you need to be able to react, and react quickly.

With shorter expiration cycles, weekly options can potentially offer you lower premium costs, as well as the opportunity to manage risk and capital with directional or nondirectional strategies. Options on futures Available across all major asset classes, you can trade options on futures with interest rates, equity indexes, foreign exchange, energy, agricultural commodities, and metals.

Options in an IRA Consider using option strategies to help manage risk and potentially increase total return—while taking advantage of the potential tax-deferred benefits inherent with an IRA. But remember, option trading, even in an IRA, involves significant risk and is not suitable for everyone.

Portfolio margin may be able to help. Designed to align your margin requirements with your portfolio's overall risk, portfolio margin is based on the net exposure of all your positions, not just individual positions.

Using this specific margin account may potentially lead to greater returns but can also lead to greater losses. Getting started with options.

The first step to trading options is establishing a plan. Check out the video below to learn how. Ready to trade options? Here's how you get started: Simply log in to your account to apply for an upgrade. Apply for an upgrade. Need help setting up an account? Check out this step-by-step video walkthrough.

Support for traders from traders. Futures accounts are not protected by the Securities Investor Protection Corporation SIPC. Apple is a trademark of Apple Inc. Android is a trademark of Google Inc.