How do I place a trade to buy or sell call and put options?

When your account is approved to use the features of the 'Buy/Sell Options' page, use the following instructions to assist you in placing an order:

Buy a call to open / Buy a put to open:

1. Select your option order type (Buy a call to open / Buy a put to open).
2. Enter the option symbol or use the 'Find Option Symbol' tool for assistance in locating the call or put you want to buy.
   
   Note: Option symbols are preceded with a period (.)



3. Enter the number of options contracts you want to buy. Remember, each option contract typically represents 100 shares of the underlying security. If you buy 2 call options contracts to open a position, you will have the right to buy 200 shares of the underlying security at the strike price.



4. Select the order type (Market or Limit).
   
   Note: If you select Limit, you must enter the Limit Price for the option contract and select the Order Expiration.



5. Select a Funding Source:
   • Cash Available for Investing
   • Options Buying Power (margin-approved accounts only)
6. Click Next.

Sell a call to close / Sell a put to close:

1. Select your option order type (Sell a call to close / Sell a put to close).
2. Select the Option Symbol of the position that you want to close from the list.
3. Enter the number of options contracts you want to sell.
   
   Note: You cannot sell more options contracts than you are long the position.



4. Select the order type (Market, Limit, or Stop-Loss).
   
   Note: If you select Limit or Stop-Loss, you must enter the Limit/Stop Price for the option contract and select the Order Expiration.



5. Click Next.

Once you have placed your order, you can check its status by navigating to Trade > Order Status (log in required).

For full commission details, please see our pricing and rates.

Note: Options involve risk and are not suitable for all investors. Before investing in options, please read the Characteristics and Risks of Standardized Options.