Foundations

Key Terms

Options Contract

A legal agreement giving the buyer the right, but not the obligation, to buy or sell an underlying asset at a specified strike price on or before a specific expiration date. Each standard contract controls 100 shares.

Call Option

A contract giving the buyer the right to buy an asset at a set strike price.

Put Option

A contract giving the buyer the right to sell an asset at a set strike price.

Covered Call

Selling a call option when you own the underlying shares. Generates income (premium) but caps upside at the strike.

LEAPS

Long-term Equity AnticiPation Securities. Options with expiration dates more than one year away.

Strike Price

The fixed price at which the option holder can buy (call) or sell (put) the underlying asset.

Premium

The price paid or received for an options contract. Quoted per share; multiply by 100 for total cost.

Expiration Date

The last day an options contract is valid.

Bid / Ask / Mid Price

Bid = highest buyer will pay. Ask = lowest seller will accept. Mid = average of the two.

ITM (In the Money)

The option has real value right now — exercising it today would result in a profit based on the current price.

ATM (At the Money)

The option’s strike price equals the current market price — sitting right on the line between profit and loss.

OTM (Out of the Money)

The option has no intrinsic value yet — exercising it today would make no sense, but it still has time value remaining.

GTC Order

Good Till Cancelled — order stays open until filled or cancelled.

Limit Order

An instruction to buy or sell at a specific price or better.

See What Members Get

Join 80DELTA

Important Notice

80DELTA is not yet open for membership. This site is currently in a pre-launch phase. No education services, investment products, or memberships are being offered, sold, or distributed at this time.

The content on this site is provided for general information purposes only and does not constitute financial product advice, personal advice, or a recommendation to engage in any financial transaction. Nothing on this site should be interpreted as an offer, solicitation, or invitation to purchase any product or service.

80DELTA is an education platform focused on options trading strategies. It is not a financial advisory service, fund manager, or broker. Any information presented on this site relates to general education about options trading concepts and does not take into account your personal objectives, financial situation, or needs.

Before making any financial decisions, you should seek advice from a qualified and licensed financial adviser. All trading and investment involves risk, including the potential loss of capital.

If you would like to register your interest and be notified when 80DELTA launches, you may do so after acknowledging this notice.

Understood. Continue to website.