The 5 Best Options Trading Courses for Beginners in 2021
What is the best options trading course available right now? The following guide lists my favorite courses, live-trading classes and options trading strategies.
But now, let’s get straight to the list of the three best options trading courses.
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Best Options Trading Courses
- Option Strategies Insider: Best for options trading overall
- OptionsGeek: Best education and options picks package
- BlackBox Stocks: Best options scanner and community
- Simpler Trading: Best live-trading service
- Mindful Trader: Best tracked results with the highest transparency
Best Courses to Learn Options Trading
I’ve tested all options trading courses mentioned in the list below. All of them offer a mix of options trading education and options picks. This combination ensures a steep learning curve for beginners. Here are my favorites of the best options trading courses.
Option Strategies Insider
Option Stragegies Insider is a swing-trading options picking and education service operated by Chris Douthit. Chris holds an MBA and various financial degrees. He previously worked as a professional trader for big companies on Wall Street, such as Goldman Sachs.
His service includes in-depth options trading education and two options picking services with a winning rate of >90% called Executive- and Ultra Membership. Paying subscribers will receive about 5-10 picks per month, depending on the membership. Those trade alerts excellent for swing trading because the average holding time is a few weeks. That makes this service a good choice for investors working in a full-time job and getting into options trading on the side.
I checked the whole options course and the trades. Detailed information about his service can be found in the Option Strategies Insider review.
Also, I asked Chris to provide a special offer for daytradingz.com readers, and he came up with a pretty cool deal. You can test his full service with access to everything for 7 days for $7. During the seven days, you can watch every educational video, and you get all trade alerts.
- An experienced instructor that knows options insight out
- Options trading education and trade alerts
- Impressive winning percentage since the inception
- Free resources for a sneak peek available
- Full access to everything for only $7
- Good for swing-trading options
Felix Frey is an experienced options trader and holds a Bachelor of Science in Finance from Wharton School, University of Pennsylvania. He worked seven years as executive director of equity derivatives for Bank of America and various other companies in the sector. For over 20 years now, he is trading options on Wall Street, and in October 2018, Felix founded his options trading service OptionsGeek.
In 2019, Felix presented his course and market insights during the Moneyshow TradersEXPO in New York, and in 2020 he was a presenter at the Benzinga Options Trading Bootcamp. His track record is well documented, and he continuously beats the average market performance.
His approach to options trading can be defined as simple to follow and easy to understand. Instead of using complicated options greek formulas, he simplifies options trading with his unique swing trading course.
- Focused on options trading education
- The instructor that knows options insight out
- Focuses on low-risk strategies trading options
- Video archive and extensive course for members
Black Box Stocks
When it comes to community aspects, the Black Box Stocks comes into play. Black Box Stocks is a trading service that covers far more than options trading. First of all, they provide a market scanner with real-time analysis of market movements. The scanner screens the stock market for momentum plays and also the options market for unusual options activity. Also, subscribers gain access to their web platform, Discord channel, and the private Twitter group.
Subscribers get a bit of everything with various head-trader who are posting live trades, the opportunity to chat with other traders, and market insights by using their market scanner. Black Box Stocks is around for many years now, and they are growing steadily. They offer free classes for members with detailed educational aspects about:
- Basics of stock trading
- Basics of options trading
- How to trade using Black Box Stocks
All of this is done during the BlackBox Bootcamp, a 3-hour live webinar for new traders. It is offered twice a week, and a detailed curriculum is available on their website.
- Unique mix of stock screener, options scanner, trading ideas, and community access
- Options and stock trading courses, chat room access and strategies
- Free online trading course Bootcamp for subscribers
- Free integration of The Fly on The Wall news
Your discount will be applied automatically during checkout by using the links above.
Simpler Trading was founded in 1999 by John Carter with the mission to make options trading easy to understand for beginners. Their course offering is one of the most comprehensive ones. Seven mentors teach students all angles of the financial markets with a focus on options classes. Besides their options trading courses, Simpler Trading also offers various trading indicators.
Over 80 webinars are produced per year, and more than 4,900 members have joined Simpler Trading so far. Members with any experience level can test the options trading courses for a low price and learn options trading basics and options trading strategies. The trial membership is available for $7.
You will learn trading basics like the difference between a call option and put options. Simpler Trading also teaches technical analysis for options traders. You learn how to create a trading plan and how to master your mindset. Simpler Trading even goes a step further by sharing actual trading ideas in real time with instant trade alerts.
- Educators with 100+ years of combined market experience
- Live trading chatroom with instant trade alerts
- Community for options traders, stock- and ETF traders
Best Offers: Simpler Options Trial Membership for $7
Eric, the founder of Mindful Trader, spent over $200,000 to backtest various trading strategies and started his service with a real account in 2020. The backtest results were outstanding, and the performance since he began to live-trading is also remarkable. The total return on the account is transparently listed on his website with all trade details. This includes the data, ticker, entry price, exit price, profit target, stop loss and return on account.
The Mindful trader offers trading education, stock picks, options picks and occasionally futures contract trades. But Eric goes the extra mile and provides members with an in-depth trading education. This includes his exact trading strategies and market analysis.
- Entirely transparent trade results
- Options trading education + insights to stock and futures trading
- Teaches the exact option trading strategies that he analyzed and uses
- Swing trade ideas with on average 3-5 trades per day
Best Options Trading Course Summary
Trading options is easier than it sounds if the best option trading courses are chosen. The main benefit of the services featured in this article is that they combine theory about options trading with options picks.
Education sets the foundation for growing the experience level, self-confidence, and, finally, the account. The same general rules of investing and trading apply like in any other related segment.
One rule of thumb for any options trading course is that you are well-advised to use a paper trading account within your brokerage account to test new trading strategies and practice your trading.
This way, you learn by doing it without risking any money. Once you identified your preferred trading style, you can make more money than by starting with real money right from the beginning.
|Options Trading Course||Best Price|
|Option Strategies Insider||$7 trial|
|OptionsGeek||$349 one time payment|
|Black Box Stocks||79.99 per month|
|Simpler Trading||$7 trial|
|Mindful Trader||$47 per month|
Guide to Options Trading
The best options trading courses set the baseline for your career as an options trader. A trading class can be started with any experience level. But the question Is options trading for rookies a good idea can not directly be answered with a yes. Please keep in mind that trading options come with higher risk compared to traditional buy-and-hold investing. Options have a limited duration, they can expire worthlessly, and some options strategies come with unlimited risk when handled wrong.
Profit and Risk
An options trading course is so important for new traders. The financial markets offer plenty of opportunities for trading and investing but have to consider that the higher the potential profits, the higher is the involved risk. Options are often used for day trading and swing trading. Some investors use options to hedge long-term stock portfolios with covered calls.
Courses and Strategies
One important thing to keep in mind is that if you follow options strategies like selling call options or put options just to earn the premium, then this might sound logical and easy. But what some shady courses don’t mention is that the risk involved with these options trades is unlimited. Your trading strategy needs to be defined and tested. Options basics learned via various educational resources help you to define your trading plan. If an educator offers a chat room, then this can be helpful too to ask questions directly. Some vendors also provide email support. No matter what your trading strategy looks like, it is essential to test it without risk to see if it works the way you expect. Make sure to use a trading simulator for that purpose.
Now a word about brokers. Most online brokers in the United States introduced zero commissions for stocks and options in 2020. TD Ameritrade is the market leader in the retail trader business, and they now re-finance their business with payments for order flow. That means that clients do not pay commissions anymore, and instead, they get compensated from third parties for routing client orders to venues. Beginners often oversee that the options trading commission is now zero, but there is still a fee per contract with most brokerages. The fee is typically still around $0.50 per stock options contract and the same for call options and put options.
Use Your Course and Start Slowly
You can make money trading options, but it is essential to start slowly. Make one option trade after the other and ensure to analyze any trade. Did you trade your plan? It needs a plan. Otherwise, it is like a casino.
Do you belong to the group of stock traders and already attended a stock trading class? If so, this training will help you, but trading options are different. You have to learn the difference between a call option and a put option, the strike price, expiration date and some options greeks during your training. A test drive is an excellent opportunity to test an options trading course, and if the service offers a money-back guarantee, then this is a good alternative to a test drive.
Learn, Rinse, and Repeat
It might take a bit longer to learn options strategies due to complexity. It makes sense to use the material provided in your course often to repeat a class and video lessons. Some investors prefer to use an options trades service that provides trade alerts based on technical analysis or quant strategies. I also consider trade ideas helpful, but they are not made to follow them blindly without knowledge. The basics of options have to be learned under all circumstances.
Stock options are the most frequently traded options, and every training and course in the list offers options basics about stock options. Some even offer lifetime access for a one-time fee. The more time you invest in learning, the better your learning curve will be. This is true for the stock market, options trading, and all financial markets in general.
An options trading course increases the probabilities of success. But a course does not guarantee success. Every investment decision is upon you, and the budget for an options course should be in reasonable relation to your overall budget.
Day trading options require a minimum of $25,000 if more than 3-day trades are made within 5 business days. This is similar to trading stocks. That’s one of the reasons why options traders and course attendees with less liquid capital often start with swing trading. Keep in mind that an options contract loses value if the price goes sideways and the expiration date comes closer.
Best Options Trading Course Questions and Answers
- How do I get good at options trading?
- What is the best option strategy?
- How long does it take to learn options trading?
- Can you get rich trading options?
- Which option trading course is best?
How do I get good at options trading?
To get good at options trading, you need to start with proper education. This can be free YouTube resources or paid courses from successful providers with a proven track record.
What is the best option strategy?
The best option strategy is to keep the overall risk as low as possible by buying calls and puts. Selling calls and puts naked is the whole opposite and the riskiest strategy.
How long does it take to learn options trading?
It takes about 3 to 6 months to learn options trading from scratch. First, you need to understand the theory, and then you need to practice order placements and finally start trading options.
Can you get rich trading options?
You can get rich trading options when all risk-management rules are applied correctly. The leverage provided by options trading makes high income with low capital possible.
Which option trading course is best?
The best options trading course provides easy to understand learning material, proven success provided by the educator, and short term subscription at low costs.