RubyGlider
Wed Jul 24 2024
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7 answers
1737
Can strike price be higher than stock price?
Excuse me, I'm curious about something regarding options trading. I've been reading up on strike prices and I'm wondering, is it possible for the strike price to be higher than the current stock price? I understand that the strike price is the predetermined price at which the option can be exercised, but I'm unsure if it can exceed the actual market price of the stock. Could you clarify this for me, please?
CryptoVisionaryGuard
Wed Jul 24 2024
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7 answers
1370
What happens when stock hits strike price?
Could you please elaborate on what exactly occurs when a stock reaches its strike price? I'm particularly interested in understanding the implications this has for investors, traders, and the overall market dynamics. Specifically, how does it impact the options contracts associated with that stock? Additionally, are there any potential strategies or considerations that investors should keep in mind when dealing with this situation? I'd appreciate a clear and concise explanation that takes into account both the technical and financial aspects of the matter.
ShintoSanctuary
Wed Jul 24 2024
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6 answers
1224
Is the strike price per share?
Excuse me, could you please clarify what you mean by "strike price per share"? Are you referring to the specific price that an option holder can exercise their right to buy or sell an underlying asset, such as a share of stock, at a future date? If so, it's important to note that the strike price is a fixed amount determined at the time the option is purchased, and it remains unchanged until the option expires or is exercised. Additionally, the strike price can be above, below, or equal to the current market price of the underlying asset. Could you please provide more context or specific details about your question?
