Home > Stock Option Basics > Moneyness
In-The-Money Option
This is a term describing the moneyness of an option. A call option is in-the-money when the strike price is below the current trading price of the underlying security. A put option is in-the-money when the strike price is above the current trading price of the underlying security. Options with intrinsic value are known as in-the-money (ITM) options.
