Learn about exercise prices, also known as strike prices, and how they determine option value for call and put trades. Discover when options are "in" or "out" of the money.

Yes, American call options can be exercised at any time before expiration, while European options can only be exercised on the expiration date. An option gives you the right to buy or sell 100 shares ...

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 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 ...

Explore the risks of pinning options at expiry and strategies to manage derivatives effectively with NSE's new auction ...

To understand settlement of options you need to break up the buy side and the sell side of the option distinctly.