Trading Terms

Deep-in-the-Money

When discussing options, it's important to understand the concept of being "in-the-money." A call option is considered deep-in-the-money when the strike price is significantly lower than the current price of the underlying instrument. Conversely, a put option is deep-in-the-money when the strike price is well above the current price of the underlying instrument. This indicates that the option has a high intrinsic value and can be exercised for a profit. So, in short, being deep-in-the-money means having a favorable position in the options market.

Related terms

Cycle

Understand the meaning and definition of Cycle in the context of stock market, trading, and investments.

MORE
Filter Point

Understand the meaning and definition of Filter Point in the context of stock market, trading, and investments.

MORE
Frequency Distribution

Understand the meaning and definition of Frequency Distribution in the context of stock market, trading, and investments.

MORE
Discretionary Account

Understand the meaning and definition of Discretionary Account in the context of stock market, trading, and investments.

MORE
Instrument

Understand the meaning and definition of Instrument in the context of stock market, trading, and investments.

MORE
Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers