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  1. #1
    Solid Member

    How to tell if a trade is in or out of the money? !!!

    Hi.
    As a newbie, I'm a bit puzzled how to tell if a trade is in or out of the money, when looking at a graph. For instance, I'm looking at USD/JPY graph and see the price line has been mainly below but twice a little bit above the yellow horizontal line. But the line goes up and down according to the latest price. So how do I tell at any given time if it is in or out of the money if say a PUT option had been exercised?
    Some help would really be appreciated.

    Thanks.

  2. #2
    Active Member
    In the money" = winning
    "Out of the money" = losing

    When you trade binary you will be out of the money on a PUT option if the price of the pair is higher than when you decided to enter the trade. The opposite is true for a CALL option.

    Hope that makes sense

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