Option is a way to judge the future market, and your loss is limited. For example:

If you think the current market will go up, you can buy a call option. The conclusion is that if the market goes up, your income is infinite; If the market falls, your loss is only your stock.

Similarly, when the market is bearish, you buy a put option and come to the conclusion that if the market falls, the income is infinite; When the market goes up, only the rights and interests are lost.

If the market is considered to be volatile, you can sell options, your highest return is equity, and your biggest loss is infinite. (Less used)