The price you think the stock will hit (e.g., "I think NVIDIA will hit $150").
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." how to buy stock options
Once approved, you’ll look at an "Option Chain"—a digital menu of available contracts. You need to pick three things: The price you think the stock will hit (e