How to Attach a Profit Target and Stop Loss Bracket to a Current Option Position
From any simple option position (call or put), either a stop, trailing stop or a profit target order can be attached. A bracket order of a stop (or trailing stop) and a profit target can also be attached. Here are steps to attaching the orders.
Note: To attach target and stop orders to a simple option position (single puts or calls), the target/stop orders must be placed from the option chart itself (not the underlying stock). Click Here to see instructions for displaying both the stock and option price charts.
This example uses a Buy Limit order. Note: Process will be the same if the position were a short position.
This opens the bracket order ticket at the left of the chart with the fields pre-filled based on the user-defined default buy ticket. Select from the list which you would like to attach to the position (e.g. Sell bracket (containing both stop and target); sell profit target or sell stop for only a target OR stop; etc.)
The bracket order is placed on the chart. The colored dot (1) means the two sell orders are placed in an OCA (One cancels all) group.
The trading tools work on either a LIVE brokerage account or a PAPER (simulated) trading account. Live market trading requires an account with TC2000 Brokerage (www.TC2000Brokerage.com).