Automated Options Trading for Beginners (2025 Ultimate Guide)

What Is Automated Options Trading?

Let me be honest with you. I used to waste hours watching charts, chasing trades, and second-guessing every move. I thought that’s what it took to succeed. It wasn’t.

Automated options trading changed everything for me, and it can do the same for you.

In simple terms, it’s when a computer places options trades for you based on a set of rules. Instead of relying on emotion or last-minute decisions, you let a strategy guide the entire process. That way, your trades happen exactly when they should, even if you’re busy doing something else.

You might hear people call it a “bot,” but don’t overthink it. This isn’t some sci-fi robot sitting at your desk. It’s just software following instructions like entering a trade when conditions are right and exiting when it’s time. You decide the rules; the bot does the work.

If you’re brand new to trading, don’t worry. You don’t need to be a tech wizard. And no, you don’t need to learn coding. With the right tools, you can follow proven strategies without having to build anything from scratch.

Better yet, you don’t have to understand every option strategy out there. Many beginners start with just one simple setup. That’s more than enough to automate.

Here’s the bottom line: Automated options trading helps you trade smarter, even if you’re just getting started.

Here’s the guide I recommend if you want to understand how automated options trading works in detail.

And because the process is built on logic – not luck – it gives you a level of consistency most manual traders never achieve.

In the next section, I’ll show you exactly why automated options trading is beginner-friendly – and how you can use it without any trading experience.

Can Beginners Really Use Bots to Trade Options?

You might be wondering, “This sounds great – but can someone like me actually use a trading bot?”

I remember asking myself the same thing. I wasn’t a programmer or a financial expert. Honestly, I just wanted a way to trade without getting overwhelmed.

Here’s the truth: Beginners absolutely can use bots to trade options. In many ways, it’s even easier when you’re starting fresh. You don’t have to unlearn bad habits or rely on guesswork.

Instead of trying to time the market, you can follow a strategy that’s already been tested. Then, let automation take care of the entries and exits.

Think of it like using a GPS. You don’t need to understand satellite math to drive across town. You follow the route. Bots work the same way. You plug in the logic, and the system takes it from there.

If you’re still unsure, check out our full guide on how beginners can use trading bots to simplify options trading—it’s easier than most people think.

Thanks to beginner-friendly platforms and services – like the ones I use at Advanced AutoTrades – you can get signals and automate trades without writing a single line of code.

You don’t need to master calls, puts, or Greeks before getting started. You’ll learn those as you go.

What matters most is getting started with a safe, structured approach – and automation makes that possible.

How Automated Options Trading Actually Works

Now that you know beginners can do this, let’s break down what automated options trading actually looks like. I’ll keep it simple—no jargon, no fluff.

The entire process comes down to four basic steps. Once you understand these, the rest starts to click.

Step 1: Choose a Strategy

You need a rules-based approach that works with automation. For example, I use a credit spread strategy – specifically bull put spreads. It’s consistent, defined-risk, and doesn’t need wild market predictions.

Step 2: Get a Signal

A signal tells the bot when to place a trade. This can come from software, a trading algorithm, or a signal service like mine. It includes the exact details: which strike prices to use, when to enter, and what expiration to pick.

Step 3: Connect to a Broker

Next, you connect your strategy to a brokerage account. Most beginners use platforms like AutoShares or Tradier, which support automation. Tools like Global AutoTrading or SignalStack handle the connection. It’s like giving your bot permission to place trades on your behalf.

Step 4: Let It Run

Once everything’s set, your trades get placed automatically. You don’t have to watch charts or rush to your phone at market open. The system follows the plan – and you stay in control without micromanaging every move.

It sounds complex at first, but once you see it in action, it’s surprisingly smooth. I’ve helped hundreds of beginners set this up in under an hour.

Why Beginners Love Automated Trading

Let’s be real – learning to trade options manually can feel like drinking from a fire hose. The strategies, the jargon, the charts… it’s a lot.

I’ve seen many beginners give up before they even place their first trade. It’s not because they weren’t smart – it’s because the learning curve felt impossible.

That’s why automation is such a game-changer. It takes the pressure off and gives you a way to learn by doing – without the chaos.

Here’s why so many beginners (myself included) fall in love with automated trading:

• No chart watching: You don’t need to sit in front of a screen all day. The system watches the market for you and enters trades when the time is right.
• No guessing: You follow a clear, rules-based strategy. That means no emotional decisions, no panic trades, and no second-guessing yourself.
• Consistent execution: Bots don’t get tired. They don’t get nervous. They follow instructions the same way, every single time.
• Time freedom: Whether you’re working full-time, raising kids, or just don’t want to obsess over markets, automation works quietly in the background.
• Faster learning curve: When trades happen automatically, you start to see patterns. That hands-on exposure builds confidence without overwhelming you.

Most of the beginners I coach start with just one contract and scale slowly. That’s more than enough to get a feel for how the process works—and to build trust in the system.

If you’re tired of overcomplicating trading, automation offers a simpler, smarter way to start.

Curious how I use AI for my trading? Check out my guide on ChatGPT and how I use it to trade smarter. It breaks down the basics in beginner-friendly language.

What Kind of Trades Are Best for Automation?

If you’re just getting started, here’s something important to know: not every options trade is a good fit for automation. Some strategies are too complex or too risky – especially for beginners.

That’s why I recommend starting with defined-risk trades like credit spreads. They’re simple to understand, easier to automate, and you always know your maximum loss before you enter the trade.

At Advanced AutoTrades, I focus on one strategy in particular: the bull put spread. It’s a type of credit spread that works best when the market is flat or slightly rising.

This strategy is perfect for automation because:

• You know your risk and reward up front
• The trade structure is consistent week to week
• It doesn’t require you to time the exact market top or bottom

Many of my clients run the exact same trade structure every week – automatically. That kind of consistency makes it easier to track, manage, and improve over time.

If you want a beginner-friendly strategy that works well with automation, credit spreads are a great place to start.

Is Automated Options Trading Safe for Beginners?

This is one of the first questions I hear from new traders – so if you’re asking it too, you’re not alone.

The honest answer? It can be safe, but only if you follow the right approach. Like any investment, there’s risk. But that risk doesn’t have to be scary – or unpredictable.

What makes it safer for beginners is the structure. Automated trading runs on rules, not emotions. That means you’re not making last-minute decisions or chasing trades based on gut feelings.

More importantly, strategies like the ones I use at Advanced AutoTrades are defined-risk. That means every trade has a built-in limit to how much you can lose. You know the risk before you click “Go.” No surprises.

Here are a few simple tips to keep things safe when starting out:

• Trade with small position sizes (1 contract is enough)
• Use only regulated brokers in the U.S.
• Stick to one strategy and learn it well before trying others
• Test everything before scaling up

When you treat automation like a tool – not a magic trick – it can help you grow your account while staying within your comfort zone.

And that’s what safety really means in trading: staying in control.

What Platforms or Services Can Help Me Start?

If you’re thinking, “This all sounds great, but how do I actually set it up?” – you’re in the right place.

You don’t need to build a bot from scratch or mess around with coding. These days, beginners can choose from three main paths to get started with automated options trading:

1. DIY Platforms (Advanced)

Some traders use platforms like Option Alpha or build their own bots using tools like Python or TradingView’s Pine Script. While powerful, these paths require technical knowledge and lots of testing. Most beginners find them overwhelming – and honestly, they’re not where I’d suggest starting.

2. Broker-Based Automation (Intermediate)

Some brokers, like Interactive Brokers or Tradier, allow you to connect automation tools like SignalStack, Capitalise.ai. These platforms can run your trades based on rules you define. It’s more flexible than DIY, but still requires setup and a learning curve.

3. Signal + Auto-Execution Services (Beginner-Friendly)

This is what I recommend for most beginners. You follow a proven low-risk strategy – like our Monthly Trend bull put spreads at Advanced AutoTrades – and open an account with AutoShares. You follow our proven signals, and they get executed automatically in your Autoshares account. Here are only two parties involved.

No coding. No analysis paralysis. Just a clean, automated process from entry to exit.

If you want the easiest way to begin, go with a trusted signal service and broker that handles the hard stuff for you.

How Much Can I Make with Automated Options Trading?

I know this is the question on your mind. It was the first thing I asked, too.

Here’s the honest answer: it depends on your strategy, your risk level, and your consistency. Automated trading isn’t a get-rich-quick scheme—but it is one of the most reliable ways I’ve found to grow an account over time.

With our Monthly Trend and Weekly Trend services, I’ve seen beginners earn between 10% and 20% a month with a defined-risk approach. That’s without day trading, without staring at charts, and without taking oversized risks.

For example, one user started with just $5,000 and traded a single credit spread each week. After six months of steady signals, they were up over 70%. No huge wins. Just consistent trades and small compounding gains.

If you’re curious about real numbers, check out our 2024 Monthly Trend performance results. These are real trade outcomes from actual live alerts – not backtests.

Now, will you make money every week? No. Some trades will lose. That’s part of the game. But when your strategy is tested, and your position size stays small, the winners can outweigh the losers.

The goal isn’t perfection. The goal is consistency – and automation helps make that possible.

Is It Legal to Use Bots for Options Trading?

This is a smart question – and yes, automated options trading is 100% legal in the U.S. as long as you follow a few simple rules.

First, you need to use a regulated broker. Platforms like Tradier, Interactive Brokers, and AutoShares are all SEC-registered and designed to work with automation tools. Stick with those, and you’re good.

Second, the automation must follow your own strategy – or a service that discloses its logic. What you want to avoid are “black box” bots that promise guaranteed returns without showing how they work. Those are red flags.

At Advanced AutoTrades, we’re transparent about our approach. You get real trades, real logic, and real performance data. Nothing hidden, nothing shady.

We also partner with registered execution platforms like Global AutoTrading. They’re built for compliance and handle automation through your brokerage – so everything stays clean and legal.

If you follow a licensed path, use defined-risk strategies, and avoid anything that sounds too good to be true, you’ll stay on the right side of the rules.

Want to dive deeper into the legal side? Read our full breakdown here: Is Trading with AI Legal?

How to Start in 3 Simple Steps

By now, you understand what automated options trading is – and why it’s a smart move for beginners. So let’s get you started.

Here’s how to go from “interested” to automated in less than an hour:

Step 1: Pick a Strategy You Can Trust

Don’t start with something complex. Stick with one strategy that’s already proven – like our bull put spread signals. We’ve tested them across years of data, and they’re beginner-friendly by design.

Step 2: Connect to a Compatible Broker

You’ll need a broker that supports automation. I recommend AutoShares for beginners or Tradier and Interactive Brokers for more experienced traders and low costs. Once you open an account, you can start automated options trading with AutoShares, or you can link it to a tool like Global AutoTrading or SignalStack to receive and execute trades automatically with Tradier and Interactive Brokers.

Step 3: Start Small and Let It Run

Don’t rush. Begin with just one contract to get a feel for how everything works. Let the system place your trades, monitor the results, and build confidence as you go.

That’s it. No guesswork, no panic clicks – just a smooth way to trade smarter from day one.

Ready to Let the Bots Trade for You?

You don’t need to be a Wall Street pro to trade options – and you don’t need to figure it all out alone.

With our beginner-friendly signal services, you can start trading with structure, confidence, and automation on your side. No complicated setups. No guessing. Just proven strategies that work quietly in the background.

Want to see it in action? Start your free trial today and let our bots do the heavy lifting while you stay in full control.

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