In the Money21 Feb 2013, 10:00
Binary Options at a Glance Thursday
This Thursday we’ll explain a term that’s widely used in binary options. We’ll look at: In the Money.
When you make a binary options trade, there are two outcomes, that the option will be “In the Money” or “Out of the Money” (there are also rare times when it can be “At the Money”).
In the Money
In the Money is when a trader realizes a binary options trade which is profitable.
For example if a “Call” option is placed, it is in the money if the price at the expiry time is higher than the price when it was purchased. If a “Put” option is placed, it is in the money if the price at the expiry time is lower than the price it was purchased.
When an option finishes In the Money, the trader will get a profit sometimes ranging between 70-90%, depending on the broker.