How To Buy Stock Options May 2026

You’re betting the stock price will go up . A Call gives you the right to buy the stock at a set price.

Once approved, you’ll look at an "Option Chain"—a digital menu of available contracts. You need to pick three things: how to buy stock options

Options don't last forever. They can expire in days, months, or years. The further away the date, the more expensive the option. You’re betting the stock price will go up

This is the price you pay for the contract. Note: One option contract usually controls 100 shares . If the premium is listed as $2.00, the contract will actually cost you $200. 4. Place Your Order When you’re ready, you’ll select "Buy to Open." You need to pick three things: Options don't last forever

Start small. Many beginners lose their initial capital by "swinging for the fences" on contracts that expire in just a few days.