Trading Glossary

Ask

Open

Financial market assets have an ask price - this is the price at which an investor can buy an asset in the financial markets. The ask price is a part of the formula which is used to calculate the expiry level of an asset.
At-the-money

Open

A financial term, which means that the current price of the underlying asset is the same as the price when the option was purchased. In effect, it means even.
Bid

Open

In financial markets, assets have a bid price - this is the price at which an investor can sell an asset in the financial markets. The bid price is a part of the formula which is used to calculate the expiry level of an asset.
Binary options (digital options)

Open

Trading options that pay out a pre-set and fixed amount if the underlying asset on which the option is based meets the trader’s selected ‘direction’ (up or down compared with advertised value at the time of purchasing that option) at expiry time.
Call option

Open

A call option provides the investor with the opportunity to gain if the asset rallies above the open rate of the call transaction. In the event that the expiry rate is the same as the open rate, the investor will be refunded with the full investment amount.
Expiry rate

Open

The price/level of the underlying asset when the option expires. This price determines whether the option is in-the-money, out-the-money or at-the-money.
Expiry time

Open

The time & date when Binary Option expires and reaches the end of its predetermined life cycle.
In-the-money

Open

A financial term, which means that the option is profitable (for example – if the option was a Call – then the current price of the underlying asset would be higher than the original price at the time the option had been purchased).
Mid Market

Open

The average of the bid and ask, this price represents the real price of the market with no spreads between bid and ask.
One-Touch Option

Open

An option which gives the investor a predetermined fixed payout once the price of the underlying asset reaches or surpasses a predetermined level. To be eligible for payout, it is sufficient that the option touches or surpasses the predetermined level just once throughout the option’s life cycle. If the predicted level is not reached or surpassed even once, the initial investment is lost.
Out-the-money

Open

A financial term, which means the option, is not profitable.
A Digital option Call Option is out-of-the-money when the asset’s Expiry Price Level is lower than the option’s buying price.
Put option

Open

A put option provides the investor with the opportunity to gain if the asset drops below the open rate of the put transaction. In the event that the expiry rate is the same as the open rate, the investor will be refunded the full investment amount.
Reuters

Open

Reuters is one of the world's leading financial data providers. It is the system which iOption takes its expiry rates from.
Trading hours

Open

Each asset has its own trading hours, trading days and holidays. To see the assets trading hours click on asset index. Sometimes you will see that even though the asset is supposed to be traded it's not listed. In such a case, simply press refresh.

iOption

Banking & Security

Knowledge Center

Market Data

Partners

Privacy Policy