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In the money

Any option that has Intrinsic value is in the money. A call option is in the money if the underlying security is traded above the Strike price. A put option is in the money if the underlying security is traded below the strike price.

See also Moneyness.

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Steven Huddart
Smeal College of Business, Penn State University, University Park, PA 16802-3603 USA
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was last updated on Wed, Oct 7, 2009.
Today is Fri, Nov 27, 2009.

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