Options Trading Levels at Webull
Investors searching for a broker that supports options trading may find Webull worth considering. The widely used brokerage provides numerous features for researching, entering, and monitoring options positions. Zero commissions on U.S.-listed stock and ETF options, comprehensive options chains, real-time market information, and advanced charting features combine to support many different options strategies.
Below, we’ll examine Webull’s options trading features and approval levels to help you determine whether the broker fits your trading needs.
Options Approval Levels
Before trading options at Webull, customers must apply for and receive the appropriate permission. Webull provides up to four options trading levels, and each higher level permits additional strategies with different degrees of risk.
Applying for options privileges is a relatively simple process. Investors provide information concerning their investing experience, financial objectives, investment time frame, liquidity requirements, annual income, total net worth, liquid net worth, and other financial circumstances. Webull reviews these details to decide which options level, if any, is suitable for the account.
Webull generally reviews an options application within one to two business days, although certain applications receive an immediate decision. Once the review is complete, Webull notifies the applicant through email and an in-app message.
Customers seeking another options approval level can submit a new request, which remains subject to Webull’s evaluation and approval. An investor may also close the account’s options trading privileges completely. If options access is disabled, the customer cannot submit another options application for at least 30 days.
Selecting a suitable permission tier involves several considerations, so investors should understand the available strategies, obligations, and possible losses associated with every approval level.
The following sections explain how Webull organizes the strategies permitted at each approval tier.
Webull Options Level 1
Level 1 allows covered calls, buy-write transactions, and cash-secured puts. With these strategies, the written option must be backed by ownership of the underlying shares or sufficient cash to satisfy the obligation if assignment occurs.
Webull Options Level 2
Level 2 contains all strategies permitted at Level 1 and adds long calls, long puts, collars, and protective puts. Level 2 margin accounts may also use protective calls, covered puts, long straddles, and long strangles. Cash accounts, including individual retirement accounts, can request options approval only through Level 2.
Webull Options Level 3
Level 3 adds debit spreads, credit spreads, butterflies, iron butterflies, condors, iron condors, and back-ratio spreads. To open spread strategies, an investor needs a margin account with Level 3 approval and no less than $2,000 in start-of-day margin equity.
Webull Options Level 4
Level 4 is available to qualifying customers and allows uncovered equity and index calls and puts, together with front-ratio call and put spreads. This approval tier requires a margin account, and the account must have a minimum net value of $10,000 before uncovered options trades can be placed. Level 4 strategies are available only on S&P 500 stocks, indices, and certain index ETFs.
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Advanced Options Trading Strategies
As the descriptions above show, the strategies available to Webull options customers differ substantially from one permission tier to another. Because many active options investors may be interested in Level 3 approval, several details about Webull’s spread-trading process are worth understanding.
Advanced multi-leg options orders can be assembled and traded through Webull’s desktop software and mobile application, but the browser-based platform does not support these strategies. Investors who want to submit an entire multi-leg position as one combined order must use the desktop program or mobile app.
Investors can also leg into a spread by entering each options contract through a separate order, although this method creates additional execution, pricing, and margin risks. The sequence in which the individual contracts are opened can change the position’s exposure and the amount of buying power the account must maintain.
Webull’s mobile app and desktop program offer greater flexibility when choosing and configuring spreads. Traders can begin with a variety of predefined strategies and then adjust the expiration dates, strike prices, spread widths, transaction direction, and other order specifications.
Multi-Leg Options Trading
Read more about trading multi-leg options at Webull.
Noteworthy Tools for Active Options Traders
Webull supplies a substantial collection of features for active market participants. The following are some of the more useful tools available to customers who trade options.
P&L graph – Webull’s P&L graph visually displays the estimated risk and possible reward of an options strategy. Depending on the position, the tool may show estimated maximum profit, maximum potential loss, breakeven prices, and the possible effect of changes in the underlying security’s market price. These figures are estimates only and do not guarantee the trade’s actual result.
Option Contract Charting – Webull includes extensive charting features and detailed options-chain data on its trading platforms. Investors can examine information that includes implied volatility, delta, gamma, theta, current bid and ask quotes, breakeven prices, percentage movements, and trading volume. Individual contracts can also be opened for more detailed chart analysis, helping traders evaluate possible entry and exit opportunities.
Options Fees and Commissions
Along with its other options features, Webull assesses no commissions or per-contract charges on U.S.-listed stock and ETF options. Certain index options are subject to a $0.50 fee for each contract, while non-index options orders containing more than 500 contracts incur a $0.10 per-contract charge. Applicable regulatory and exchange-related fees may also be assessed.
At brokers that charge for every contract, the expense of frequently trading large numbers of options can accumulate quickly. Webull’s pricing for stock and ETF options can lower these trading costs, although customers may still pay regulatory charges, exchange fees, index-option fees, or oversized-order fees.
Advantages and Disadvantages
Webull offers several meaningful advantages for options investors, but customers should also consider some limitations. The following brief list summarizes notable benefits and drawbacks that may help investors evaluate the brokerage.
Pros
- Powerful and customizable charting features
- Helpful automatic-exercise and Do Not Exercise controls
- Support for advanced multi-leg options strategies
- Up to four options trading approval levels
- No commissions or contract charges for U.S.-listed stock and ETF options
Cons
- Features are not completely consistent across the mobile, web, and desktop platforms
- The browser-based platform does not support advanced multi-leg orders
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Updated on 9/6/2026.
Chad Morris has been analyzing investment firms for Brokerage-Review.com since 2015. Backed by FINRA Series 65, 66, and SIE credentials, his work reflects a deep knowledge of the retail brokerage industry and digital trading tools.
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