Options chains might look Greek to you, but they’re actually pretty simple. A chain has 2 sections (calls and puts) with a list of strike prices and corresponding bids (buy offers), asks (sell offers), and last sale prices.
Below is the July 21, 2023, options chain for Shopify. At the top, you’ll note the stock ticker ($SHOP) and the current stock price ($49.845).

Calls are on the left, puts are on the right, and the middle column is our strike price. We also have our date of expiry:
- 21 Jul 23 (175) 100 = expiration date (days to expiry) 100 contracts.
Since the underlying stock price is currently much higher than the strike prices in this chain, the calls listed are worth much more than the puts.
- In this case, if you thought $SHOP was due for a correction, or if you owned the stock and wanted to hedge against downside risk, you could purchase puts at a $30 strike price for $127 (1.27 x 100 contracts).
✍️ Your Homework: Spend some time exploring options chains this week. Write down the dates, strike prices, and premiums, then track how they fluctuate. Take note of how the premiums behave during bouts of volatility. And what about when the stock is basing? See if you notice any patterns.