Managing risk is a crucial aspect of options trading, particularly in high volatility markets where prices can change rapidly and unexpectedly. Here are some tips and best practices to help manage risk in high volatility markets:

1. Set stop-loss orders: A stop-loss order is an order placed with a broker to sell an option at a certain price. Setting a stop-loss order can help limit potential losses if the price of the underlying asset moves against your position.
2. Use smaller position sizes: In high volatility markets, it's important to manage risk by using smaller position sizes. This way, losses can be kept to a minimum in case the market moves against your position.
3. Consider using options strategies: Options strategies, such as straddles, strangles, and iron condors, can be useful in managing risk in high volatility markets. These strategies involve buying and selling options to limit potential losses while still allowing for potential gains.
4. Diversify your portfolio: Diversification is important in any market, but especially in high volatility markets. By diversifying your portfolio, you spread your risk across different assets, reducing the impact of any single asset on your overall portfolio.
5. Keep an eye on the news: High volatility markets are often driven by news and economic events. Keeping an eye on the news can help you anticipate potential market moves and adjust your positions accordingly.
6. Be disciplined: Trading in high volatility markets can be emotionally challenging. It's important to remain disciplined and stick to your risk management plan, even in the face of unexpected market movements.
7. Practice with a demo account: Practicing with a demo account can help you gain experience and confidence in managing risk in high volatility markets without risking real money.