capt - That is correct. There is a lot of instruction to be found on the web. You need rules like never hold options that expire in less than 30 days. You should also only buy at or in the money options. Because of the leverage they are great for day trading and short term trades and when doing this the percentage moves are greatest in under 30 day options. You have to sell them immediately if you happen to be wrong. I have known some who buy them out 3-4 months and then hold them for 60 days or so. There are several systems such as spreads and straddles etc. that you can use to increase your odds of success. I use straddles quit often buying calls and puts at the same strike price on the SPY. This works well when there is a big move coming and your not sure which direction it will go. You can find everything you need to know in a lot of detail on the web.
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