Opening an Options-Enabled Account on WeBull
WeBull does not automatically grant options trading access when you open a standard brokerage account. You must request options approval separately, and WeBull will review your application based on your trading experience and financial situation. This review typically takes one to three business days.
To request options access, log into your WeBull account, go to Account Settings, select Permissions, and choose Options Trading. WeBull will ask you to confirm your investment experience, annual income, and net worth. Answer honestly — WeBull uses this information to assign you an options level, which determines what strategies you can use.
WeBull offers four options levels. Level 1 allows covered calls and cash-secured puts only. Level 2 adds spreads and other multi-leg strategies. Level 3 permits naked calls and puts. Level 4 allows all strategies including margin-based positions. Most new traders start at Level 1 or 2. You can request a higher level later if your experience grows.
Key Takeaways
- WeBull requires a separate options approval request that takes one to three business days, and assigns you a trading level based on your experience and finances.
- Options contracts on WeBull cost $0.65 per contract to open and $0.65 to close, with no per-trade commissions on stocks or ETFs.
- You find options chains by searching a stock ticker, clicking the Options tab, and selecting the expiration date and strike price you want to trade.
- A call option gives you the right to buy 100 shares at a fixed price; a put option gives you the right to sell 100 shares at a fixed price.
- Each options contract represents 100 shares, so if you buy one call contract at $2.50 per share, your total cost is $250 plus the $0.65 contract fee.
Understanding Call and Put Options Before You Trade
A call option is a contract that gives you the right to buy 100 shares of a stock at a set price (called the strike price) on or before a specific date (called the expiration date). You pay a premium upfront to own the call. If the stock price rises above the strike price plus the premium you paid, you make money. If the stock stays flat or falls, you lose the premium.
A put option is the opposite: it gives you the right to sell 100 shares at a set price by the expiration date. You pay a premium to own the put. If the stock price falls below the strike price minus the premium you paid, you make money. If the stock stays flat or rises, you lose the premium.
The key difference from stock trading is that options expire. On the expiration date, the contract becomes worthless if you do not exercise it or sell it to someone else. Most options traders close their positions (sell the contract back) before expiration rather than exercising them. WeBull charges $0.65 per contract to open a trade and $0.65 per contract to close it.
Finding and Selecting an Options Chain on WeBull
To view options for a stock, search the ticker symbol in WeBull's search bar and open the stock detail page. Click the Options tab. WeBull will display the options chain — a table showing all available call and put contracts for that stock.
The chain is organized by expiration date and strike price. On the left side, you see the expiration dates available (for example, this Friday, next Friday, or dates months out). Click the expiration date you want. The table then shows strike prices down the middle, with call prices on the left and put prices on the right.
Each row shows the bid price (what buyers will pay), the ask price (what sellers want), the volume (how many contracts traded that day), and open interest (how many contracts are currently open). Wider gaps between bid and ask mean the contract is less liquid — harder to buy or sell at a fair price. Stick to contracts with decent volume and open interest when you are starting out.
Placing Your First Options Trade
Click the call or put contract you want to trade. A trade ticket will open. WeBull defaults to a buy order, but you can change it to sell if you want to sell a contract you already own or sell to open (if your options level permits).
Enter the number of contracts you want to buy. Remember that one contract equals 100 shares, so if you buy one call contract at a bid-ask of $2.50, your total outlay is $250 plus the $0.65 contract fee. WeBull shows your total cost before you confirm.
Choose your order type. Market orders execute immediately at the current bid or ask price. Limit orders let you set a price you are willing to pay (for buys) or accept (for sells) — the order only fills if the price reaches your limit. For options, limit orders are often smarter because bid-ask spreads can be wide, and waiting for a better price saves money.
Review the order summary, confirm your account has enough cash, and click Submit. Your order will show in your Activity tab. If it is a limit order, it will sit open until the price is reached or the market closes.
Managing Your Position Until Expiration
Once you own an options contract, you can watch it in your Positions tab. WeBull shows your entry price, current price, and unrealized gain or loss in real time during market hours. Options prices move throughout the day based on the stock price, time decay (the contract loses value as expiration approaches), and changes in volatility.
You have three choices before expiration: sell the contract to close your position and lock in your profit or loss, hold it and let it expire worthless (if it is out of the money), or exercise it (convert it into a stock position). Most traders sell to close rather than exercise, because selling lets you recover some value even if the trade did not work out.
To close a position, go to your Positions tab, find the contract, and click Sell. WeBull will open a trade ticket to sell that contract at the current market price. Confirm the order. You will pay another $0.65 contract fee to close.
On expiration day, any contract still open at market close will be automatically exercised if it is in the money (profitable to exercise) or allowed to expire worthless if it is out of the money. WeBull will notify you if automatic exercise will occur, usually the morning of expiration.
Avoiding Common Mistakes When Starting Out
Do not buy options on stocks with low volume or open interest. Bid-ask spreads widen on illiquid contracts, which means you pay more to buy and receive less when you sell. Start with major stocks like Apple, Tesla, or the S&P 500 ETF (SPY), where options trade constantly and spreads are tight.
Do not ignore time decay. An options contract loses value every day as expiration approaches, even if the stock price does not move. A call you bought for $3 might be worth $1.50 just two weeks later if the stock stays flat. Understand that time works against you in options trading.
Do not use all your cash on one trade. Options are leveraged — you control 100 shares with a small upfront payment. That leverage cuts both ways. If you buy one call contract for $250 and the stock drops 20 percent, you can lose the entire $250. Treat options as a small part of your overall portfolio.
Do not sell options until you understand assignment. If you sell a call or put, the buyer can exercise it and force you to deliver stock or buy stock at the strike price. Make sure you have the cash or shares to handle assignment before you sell.
Understanding Options Pricing and Greeks
An options contract's price (called the premium) is not just the difference between the stock price and the strike price. It also reflects time value and volatility. WeBull shows you the Greeks — metrics that predict how an option's price will change.
Delta tells you how much the option price will move if the stock moves $1. A delta of 0.50 means the option will gain $0.50 if the stock rises $1. Theta tells you how much the option loses per day due to time decay. Gamma tells you how fast delta changes. Vega tells you how much the option price changes if volatility rises or falls.
You do not need to memorize the Greeks to start trading options, but understanding delta helps. A call with a delta of 0.80 is deep in the money and moves almost like the stock itself. A call with a delta of 0.20 is far out of the money and moves slowly. Most new traders find calls and puts with a delta between 0.30 and 0.70 easier to predict.
Frequently Asked Questions
How much money do I need in my account to trade options on WeBull?
WeBull does not set a minimum account balance for options trading, but you need enough cash to cover the cost of the contracts you want to buy. If you want to buy one call contract at $2.50 per share, you need $250 plus the $0.65 contract fee. Some strategies, like selling naked calls or puts, may require higher balances or margin.
Can I trade options after hours on WeBull?
No. Options trading on WeBull is only available during regular market hours, 9:30 a.m. to 4:00 p.m. Eastern Time, Monday through Friday. You can place orders before or after hours, but they will not fill until the market opens.
What happens if I do not close my options position before expiration?
WeBull will automatically exercise in-the-money contracts at expiration. If you own a call that is in the money, WeBull will buy 100 shares at the strike price. If you own a put that is in the money, WeBull will sell 100 shares at the strike price. Out-of-the-money contracts expire worthless and disappear from your account.
Can I buy options on margin on WeBull?
Yes, if you have a margin account and your options level permits it. Buying options on margin means borrowing cash from WeBull to pay the premium. You pay interest on the borrowed amount. Margin requirements vary by strategy and options level, so check your account settings or contact WeBull support for details on your specific situation.
What is the difference between American and European options on WeBull?
Most stock options on WeBull are American style, meaning you can exercise them any time before expiration. Some index options are European style, meaning you can only exercise them on the expiration date. WeBull will label the option type in the contract details. For most traders, this distinction does not matter because they sell to close rather than exercise.