As such, exercising an in-the-money call option would allow the trader to buy shares at a discount to the current market ...

Stock options in startup companies can be very profitable in the long term, but they come with special risks. Startup companies rely heavily on stock options to recruit, motivate, and retain the best ...

The Bjerksund-Stensland model is a key method for pricing American options. It helps investors determine optimal times for exercising options with dividends considered.

This article is the second of six on the topic of using options to swing trade. The topic this week is the most basic of swing trading methods, the use of long options only. Swing traders want to open ...

Mention stock options to most individual investors and the response is likely to be either a look of fear or bewilderment. Stock options, after all, are thought to be for traders, for those who like ...

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 ...

Options trading is the practice of buying or selling options contracts. Whether you buy or sell depends on how you think a stock will perform over a specific period of time. Many, or all, of the ...

What Investors Need to Know About LEAPS Options. The popularity of options trading has reached an all-time high, with a record 39 million total contracts traded in 2021. While options trading can be ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

Implied volatility, time decay, and delta all play crucial roles in option prices As you may well be aware, it's very common for option players to close out their trades without ever touching the ...