What are options

Options are contracts in the world of finance that grant the buyer the right, but not the obligation, to buy or sell an underlying asset at a particular price (referred to as the striking price) prior to or on a specific date (the expiration date). Two primary categories of alternatives exist:

The right to purchase the asset is granted via a call option.

The right to sell the asset is granted to the holder by a put option.

It is just basic think you may know about options but options are very vast topic …

there are so many terms like Premium, Strike price, expiry date effect option price 

eg. when the expiry date is near premium of options on lower side 

strike price also affect premium price of options 

3 types of strike price 1. ATM  2.ITM and 3. OTM 

all these we will  discuss in upcoming blogs so stay tuned…..