Introduction Getting started with options trading can be confusing—especially when it comes to understanding the strike price. To help you get up to speed, we’ve compiled a list of the most frequently asked questions about strike prices from new traders. What is a strike price in options trading? The strike price is the agreed price…
Introduction New to options trading? Understanding the strike price is just the beginning. This glossary will help you decode the most important strike price-related terms, making it easier to read option chains, plan trades, and manage risk like a pro. 🔹 Strike Price The fixed price at which the buyer of an option can buy…
Introduction If you’re trading options, one of the most important moments is when your option hits the strike price. But what exactly happens then? Does it automatically get exercised? Do you make a profit? In this post, we break down what it means for both call and put options when they reach the strike price….