Search results
Results from the WOW.Com Content Network
In finance, the expiration date of an option contract (represented by Greek letter tau, τ) is the last date on which the holder of the option may exercise it according to its terms. [1] In the case of options with "automatic exercise", the net value of the option is credited to the long and debited to the short position holders.
The IMM dates are the four quarterly dates of each year which certain money market and Foreign Exchange futures contracts and option contracts use as their scheduled maturity date or termination date. The dates are the third Wednesday of March, June, September and December (i.e., between the 15th and 21st, whichever such day is a Wednesday).
Triple witching hour is the last hour of the stock market trading session (3:00-4:00 P.M., New York City local Time) on the third Friday of every March, June, September, and December.
When to use it: A bear put spread is an effective strategy when the stock is anticipated to fall by the options’ expiration. It can work if the stock is expected to fall significantly but can ...
The options trader makes a profit of $200, or the $400 option value (100 shares * 1 contract * $4 value at expiration) minus the $200 premium paid for the call.
Options expiration, yields creating ripples in the market. October 20, 2022 at 9:56 AM ...
For example, the Apple mini-options symbol is AAPL7. [6] Examples: AAPL7 131101C00470000. The above symbol represents a mini call option (10 shares) on AAPL, with a strike price of $470, expiring on Nov 1, 2013. AAPL 131101C00470000. The above symbol represents the standard call option (100 shares), with the same strike and expiration date.
A compound option is an option on another option, and as such presents the holder with two separate exercise dates and decisions. If the first exercise date arrives and the 'inner' option's market price is below the agreed strike the first option will be exercised (European style), giving the holder a further option at final maturity.