I feel that I should also point out that long options are a risky play. They do eventually expire, and may expire worthless. You have to get the timing right as well as the direction, and deflating volatility could mean they lose most of their value sooner than you expect. You could lose your entire investment. If you want to experiment, either do a “paper” trade (simulate and track it, but don’t actually do it), or make sure it’s money you can afford to lose on a very small percentage of your account. 5% of the account is considered big for a single trade, even for experienced option traders who know what they are doing, and I basically never go that high on a long position. I’d recommend you keep it to 1% or less.
I feel that I should also point out that long options are a risky play. They do eventually expire, and may expire worthless. You have to get the timing right as well as the direction, and deflating volatility could mean they lose most of their value sooner than you expect. You could lose your entire investment. If you want to experiment, either do a “paper” trade (simulate and track it, but don’t actually do it), or make sure it’s money you can afford to lose on a very small percentage of your account. 5% of the account is considered big for a single trade, even for experienced option traders who know what they are doing, and I basically never go that high on a long position. I’d recommend you keep it to 1% or less.