Assertion: straddle's option | /r/AtLocation | the money
Facets:
value: at the money
type: OTHER
value: than the call options
type: OTHER
value: before expiration
type: TEMPORAL
value: with higher delta value
type: OTHER
Source sentences:
text: If the stock price is trading very close to the strike price of the short straddle as expiration approaches, then it may be necessary to close both the short call and short put, because last-minute trading action in the marketplace might cause either option to be in the money when trading halts.
text: If the strike price used is higher than the price of the stock, the put options would be in the money with higher delta value than the call options, resulting in a negative delta position which gains to downside and loses to upside as the price of the stock moves before expiration.
text: The short strangle introduces a larger risk to the seller because they will have to buy or sell the shares of the underlying security if the option is in the money on or before expiration.
text: If you are buying an option that is already "in the money" (meaning the option will immediately be in profit), its premium will have an extra cost because you can sell it immediately for a profit.
text: Options can be in the money (ITM), out of the money (OTM), or at the money.