Day 1 Flashcards
1
Q
what is options contract?
A
2
Q
what is underlying asset?
A
3
Q
What is Derivative?
A
4
Q
What is strike price?
A
5
Q
What is Premium?
A
6
Q
What is Exercise?
A
7
Q
What is Assignment?
A
8
Q
what is call?
A
9
Q
what is put?
A
10
Q
what is 4 basic positions of option?
A
11
Q
stock premium correlations
A
12
Q
correlations between buying/selling of calls/puts
A
13
Q
stock position vs options positions
A
14
Q
risk correlations
A
15
Q
credit or debit traders
A
16
Q
what is expiration cycle?
A
17
Q
4 different expiration cycles
A
18
Q
what is intrinsic value?
A
19
Q
what is time value?
A
20
Q
what is wasting asset?
A
21
Q
how to calculate time value
A
premium - intrinsic value = time value
22
Q
what is in the money?
A
23
Q
what is out of the money?
A
24
Q
what is at the money?
A
25
Q
moneyness summary
A
