How to Read an Options Chain – Strike by Strike (Yiddish)
Jan 01, 2026If you're serious about options trading, learning to read an options chain is non-negotiable. This is where all the data lives — from strike prices to implied volatility.
In this lesson, I go over:
- What the strike prices mean
- Understanding the bid and ask spread
- What is open interest and volume — and why they matter
- How to use Greeks like delta and theta when selecting your strike
- How to avoid illiquid strikes with wide spreads
- Tips on finding the best balance between risk, reward, and liquidity
An options chain might look overwhelming at first, but once you understand what each column tells you, it becomes your best friend.
If you ever placed a trade and later realized you picked the wrong strike or expiration, this lesson will save you from making that mistake again.