If you're interested in options trading, one of the first things to learn is the difference between call and put options. You'll see these terms used all the time, so understanding them is a must.

Understanding when and how to deploy these strategies is crucial for options traders—especially as they differ for calls and puts—and we guide you through what you need to know below.

such as the covered call, that could be utilized to help protect the seller. The other major kind of option is called a put option, and its value increases as the stock price goes down.

A call option is a contract that guarantees its owner ... re worth or sell the contract for more than they paid), while a put investor bets on the value of a security going down (which would ...

Additionally, put options allow for portfolio protection amidst market uncertainty. Similar to call options, put options derive their value from an underlying asset, such as stocks, bonds ...

Options can be bought in the money or out of the money, depending on the trader's predictions for the stock and risk ...

Here's a look at what to consider before trading options: What is options trading? What are call and put options? How to start trading options. Benefits and risks of trading options. Trading ...

Investors in Jpmorgan Nasdaq Equity Premium Income Etf (Symbol: JEPQ) saw new options become available today, for the January 2027 expiration. One of the key data points that goes into the price ...

Investors in Mondelez International Inc (Symbol: MDLZ) saw new options begin trading today, for the March 2026 expiration. One of the key data points that goes into the price an option buyer is ...

The options calculator below can help you with both call and put options. Feel free to test out some examples to find an option’s theoretical price. Then below the options profit calculator, you can ...

Two of the most common options contracts to understand are call and put options. Here’s what options traders should know about these popular contracts. What are call options and put options?