A term used to describe an option that can be exercised at a profit; the option contract's current market price is higher than the strike price of a call option or lower than the strike price of a put option. A call option on a commodity or share would be in the money at a strike price of 50 if the underlying commodity or share were selling for 51 or more; a put option at a strike price of 50 would be in the money if the share or commodity were selling at 49 or less. See also: at the money, intrinsic value, out of the money.
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