An option is a contract that represents the right to buy or sell an underlying asset at an agreed-upon price for a specific period of time.
Call options: Calls give the purchaser of the option the right to buy asset from the writer of the option in the future.
Put options: Puts give the purchaser the right to sell asset to the creator of the options contract at a set price in the future.
Premium: All options contracts are sold for a fee called a premium.
Strike price: The contract defines a specific price for the trade, called the strike price.
Expiration date: This deadline, or expiration date, is the final moment the options contract may be executed.
When Settle Price ≦ Strike Price, you gain
When Settle Price > Strike Price, you may lose
When Settle Price ≧ Strike Price, you gain
When Settle Price < Strike Price, you may lose