Option Chain
A table listing all available options contracts for a security, organized by expiration date and strike price.
What is Option Chain?
An option chain, also called an options matrix or options table, is a real-time listing of all available options contracts for a given underlying security, organized by expiration date and strike price. For each contract, the chain typically displays the bid price, ask price, last trade price, volume, open interest, implied volatility, and the Greeks (delta, gamma, theta, vega). Option chains are divided into call options on one side and put options on the other. Traders use the option chain to compare contracts across strikes and expirations, identify liquidity (via volume and open interest), and assess the market's implied volatility surface before selecting a strategy.
Example
A trader looking at a stock's option chain for the next monthly expiration sees calls with 500+ open interest contracts concentrated near the at-the-money $150 strike. The implied volatility for these options is 35%, compared to 25% for options three months out. This volatility skew and high near-term open interest signal that the market expects a significant price move — perhaps around an upcoming earnings release.
Source: FINRA — Understanding Options