itm , atm , otm, in-the-money, at-the-money and out-of-the-money options

Options
In-the-money
At-the-money
Out-of-the-money

When the price of the underlying security is equal to the strike price, an option is at-the-money.

A call option is in-the-money if the strike price is less than the market price of the underlying security. A put option is in-the-money if the strike price is greater than the market price of the underlying security.

A call option is out-of-the-money if the strike price is greater than the market price of the underlying security. A put option is out-of-the money if the strike price is less than the market price of the underlying security.

Examples
Option Strike Stock At-the-money
In-the-mone
Out-of-the-money
Call 35 $29 out-of-the-money
Put 45 $52 out-of-the-money
Call 25 $25 at-the-money
Put 100 $101 at-the-money
Call 10 $16 in-the-money
Put 40 $25 in-the-money

 

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