In The Money

What Does In The Money Mean?
1. For a call option, when the option's strike price is below the market price of the underlying asset.

2. For a put option, when the strike price is above the market price of the underlying asset.

Investopedia explains In The Money
In other words, this is when your stock option is worth money and you can turn around and sell or exercise it for a profit.

Related Terms

At The Money
Call Option
Deep In The Money
Exercise
Moneyness
Option
Out Of The Money
Put Option
Strike Price
Underwater
More Related Terms

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