Hello, u/OnwardExplorer . I'm happy you found us. Thank you for stopping by the subreddit for the first time! You'll first need to complete an options application and get approval on your eligible account(s) to trade options. You can use the link below to review our offer and FAQs. If you're ready to apply, click the "Start trading options" button and choose "Apply for options." Options Trading Options approval decisions are based on your trading experience (including experience trading stocks/ETFs, mutual funds, bonds, etc.), financial situation, and investment objective. When your application is reviewed, you will receive a notification indicating what level you have been approved for. We will approve you for the highest level you are eligible for, up to the level you requested. While we cannot share specific details as to what will qualify you, you are welcome to reapply as you gain additional trading experience and your financial situation changes. Please note that although we allow clients to reapply as their circumstances change, options applications may be subject to a cooldown period if you've applied frequently in a short time window. We offer three different options trading tiers. Let's take a quick look into each: Tier 1: Sell covered calls, buy writes, buy calls and puts, sell cash-covered puts Tier 2: Spreads, sell short stock secured puts Tier 3: Sell uncovered calls/puts on equities and indices. You can learn more about Option tiers using the link below. Trading FAQs: Margin Please let us know if you have additional questions so we can review this further. I appreciate you trading with Fidelity! Options trading entails significant risk and is not appropriate for all investors. Specific complex options strategies carry additional risk. Before trading options, please read the Characteristics and Risks of Standardized Options . Supporting documentation for any claims, if applicable, will be furnished upon request. More on reddit.com

I don't work for Fidelity, but i am an advisor for a major firm. Typically, in order for us to approve options trading, an options principal will review the request. They look to make sure that the person requesting has sufficient trading experience and assets to be able to absorb losses. Also, most, but not all, options trade require a margin account. Remember that trading options without experience has a very high level of risk and can enable you to lose your entire principle. Only traders with alot of equity experience should trade them. Many people on reddit talk about options, but realistically they are not as simple as most people believe and require alot of research and knowledge to use them properly. I would start by learning hedging strategies with buy-stops, sell-stops, stop-loss and limits before moving into options. More on reddit.com

If you are asking about selling a covered call or put this is done automatically. If you are exiting a purchased call or put before expiration you will need to do this manually using the “sell to close” order. Keep in mind it’s not easy to get approved for options at fidelity without Experience. Might want to tell half truths when applying. More on reddit.com

My question is that I am not getting approved, and I was wondering the requirements for spreads. I currently have a $1,000 dollar account, and have level 2 options trading available. Do I need more money in my account to trade spreads? If so, what amount? You need a minimum equity balance of $10,000. https://www.fidelity.com/trading/faqs-margin Screenshot of the relevant section from the linked Fidelity page: https://imgur.com/a/JFKvfYu More on reddit.com