Options basics: delta, calls, volatility, ITM and OTM

Sun, 19 Apr 2026 00:00:00 +0000

An option is a contract on an underlying asset. A call tracks upside above a strike, a put tracks downside below a strike, and terms like delta, implied volatility, in the money, and out of the money describe how sensitive the contract is and where it sits relative to the current price.

Options terminology becomes unreadable fast if the vocabulary is not clear. This post covers the terms that show up again and again: calls, puts, strike, premium, delta, volatility, and moneyness.

Options on m58 | DevSecOps & Pentest

Options basics: delta, calls, volatility, ITM and OTM