Hey eyerate, I was wondering if you could help me understand option a bit better. I got a quick run down from a friend, and basically what I understand is that there is a premium price (price for option per share), and a strike price (the amount per share you hope it will hit) And basically, your trying to hit the strike price before the given time of the option expires? So hypothetically if MSFT is at 25, and I want to buy 1000 options for a $.50 premium on each share, and the time limit on the option is one year (not sure how long these typically last), for a strike price of 29 per share; then I am "betting", so to speak, on MSFT hitting 29 before the 12 months are up? If it doesnt I lose the investment, but if it does, what is the typical earning for hitting your strike price? Also isnt true you can also invest in options for a negative strike price? But you have to chose one or the other? So volatility is something to look for correct? And do all option' premiums/strike price differ, or do they go by a formula? Sorry a lot of questions, but am I on the right track?