Strike Price & Expiration
The strike and expiration you choose shape an option’s cost, odds and risk. Here is what in the money and out of the money mean, how expiration cycles work and how choices change the trade.
In, at or out of the money
| Call | Put | |
|---|---|---|
| In the money | Stock above strike | Stock below strike |
| At the money | Stock near strike | Stock near strike |
| Out of the money | Stock below strike | Stock above strike |
With AAPL at $337, a $350 call is out of the money and a $320 call is in the money.
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