Bid price - a price which a buyer is willing to pay for an option or a stock.
Ask Price - a price at which a seller is willing to sell an option or a stock.
Contingent order - an order that will be executed only when the price of the underlying security for an option order falls to a certain level.
Cover (covering short position) - covering short position is buying an option back, which was previously sold short. The short position closes by this transaction.
Assignment - Assignment is a receipt of an exercise notice by an option writer (seller) which obligates him/her to purchase in the case of a put, or sell in the case of a call, the underlying security at a specified strike price.
Automatic Exercise - Automatic Exercise, exercises an option for the option owner by the Options Clearing Corporation automatically if an in-the-money option is expiring.
Roll Forward (Roll Out, Rolling) - buying option with longer-term expiration and closing out the near-term expiration options.
Roll Up - buying options at a higher strike price and closing out lower strike options.
Naked options trading is very risky - many people lose money trading them. It is recommended contacting your broker or investment professional to find out about trading risk and margin requirements before getting involved into trading uncovered options.