Options trading FAQ
The following are some of the most frequently asked questions about trading options with Robinhood.
Market orders for options contracts will typically fill during regular market hours, starting 15 minutes after market open (9:45 AM–4 PM ET). Orders for late close options will extend to 4:15 PM ET.
Placing limit orders will give your order a better chance of being executed at the price you want. This way, you’ll know how much you’ll pay to buy a contract.
Keep in mind, limit orders aren't guaranteed to execute.
Your options order is most likely receiving a partial fill because it has low liquidity in the market. Low liquidity means not many people are trading the contract when you placed the order. Partial executions occur when not enough matching orders can fill an entire order at the specified price or better.
A buyer and seller must be on both sides of the trade for an order to execute, so your single order may be filled in multiple, partial executions. Also, your order might go unfilled if both a buyer and a seller can’t be matched even for partial executions.
Not all stocks can have options because of certain regulatory standards. For example, stocks with low prices, trading volumes, or market caps may not have options.
Robinhood doesn’t support options trading on stocks we don’t have on the platform. For a guide to eligible stocks on our platform, check out Investments you can make on Robinhood.
Before we can enable options trading in your account, we need to make sure your investor profile is up-to-date so we can determine if options investing is right for you. You don't need to change your investor profile if nothing has changed, we just need you to confirm it's up-to-date.
The 390 Professional Orders Rule, also known as the 390 Rule, is a Chicago Board Options Exchange (CBOE) regulation. The 390 Rule defines a professional options trader as a trader who meets or exceeds the threshold of placing an average of 390 option orders per trading day in a calendar month within a calendar quarter.
If you qualify as a professional trader according to the 390 Rule, each of your accounts’ options access will be limited to only closing existing options positions for the next 3 months or for 1 quarter. This means you will not be able to open new options positions during this period.