Crossed Sale

The Intrinsic Value is basically the value of an in-the-money option minus its time value. Intrinsic value is the current real tangible value of the options contract. The intrinsic value of a call option is calculated by subtracting the strike price of the Option from the underlying stock. For a put, intrinsic value is the…

This is when you buy a Put and sell another Put with a lower strike price. You would only use this spread if you are expecting the underlying stock to move up moderately because it will help you to benefit from the time decay. For example, let’s say you are anticipating a moderate rise in…

Fixed Return Options (FROS) are basically a type of Option contract with a set outcome. These are similar to binary options contracts that would pay out $100 if the contract is in-the-money at expiration and zero if the contract is out-of-the-money.

The expiration cycle basically refers to the months available for a set of options. An example of an expiration cycle is March, June, September and December.

We empower millions of customers around the world to start and grow their businesses with our smart marketing technology, award-winning support, and inspiring content.

This is basically the amount of intrinsic value that an options contract has. In other words, it is the relationship between the strike price of the option and the price of the underlying asset. See at-the-money and Deep in-the-money.