Traders define options as "in the money" (ITM) or "out of the money" (OTM) by the strike price's position relative to the ...

An options contract gives you the right to buy or sell a stock (or other asset) at a given price. This article will take a look at in the money options and how they can be used to your strategic ...

An option can be either in the money, out of the money or (very rarely) at the money. These three different statuses for options indicate the relationship of the option’s strike price and the price of ...

We independently evaluate all of our recommendations. If you click on links we provide, we may receive compensation. Learn what it takes to trade options Gordon Scott has been an active investor and ...

Options assignment is a process in options trading that involves fulfilling the obligations of an options contract. It occurs when the buyer of an options contract exercises their right to buy or sell ...

The "Greeks" are an essential toolkit for options investors and traders. These mathematical calculations, each named after a ...

When selecting the right option to buy, a trader has several choices to make. One is whether to purchase an in-the-money (ITM) or out-of-the-money (OTM) option. While the goal for "vanilla" buyers is ...

Options traders typically want their option contract to be “in the money,” meaning the contract has greater value than buying or selling based on current market values. But depending on your risk ...

When trading out-of-the-money (OTM) options, the objective is to maximize your leverage on the trade. While In-the-money (ITM) options are more expensive, they are more likely to maintain their ...