What Is an Option Chain? Complete Beginner’s Guide to Options Trading. - Bangalore

Saturday, 26 September, 2026

Item details

City: Bangalore, Karnataka
Offer type: Offer

Contacts

Contact name Traders Training Academy
Phone 9880009389

Item description

An Option Chain is a table that shows all available Call (CE) and Put (PE) options for a particular stock or index arranged according to different strike prices and expiry dates.
It helps traders understand the options market, including prices, trading activity and open positions.

Key Information in an Option Chain: An option chain generally includes:

• Strike Price – The price at which the option can be exercised.
• Call Option (CE) – Gives the buyer the right to buy the underlying asset at the strike price.
• Put Option (PE) – Gives the buyer the right to sell the underlying asset at the strike price.
• LTP (Last Traded Price) – The latest traded price of the option.
• Open Interest (OI) – Number of active option contracts.
• Change in OI – Shows whether open positions are increasing or decreasing.
• Volume – Number of contracts traded.
• Implied Volatility (IV) – Indicates the market's expected volatility.

How Does an Option Chain Help? Traders commonly use an option chain to:

1. Identify areas with high Call OI and Put OI.
2. Study trading activity and liquidity.
3. Compare different strike prices.
4. Analyze changes in Open Interest and volume.
5. Understand how option premiums are changing.