Important terms for options

(1)Strike Price, also referred to as exercise price: If the market price of X share is USD10 and you buy USD15 of call option, the strike price will be USD15.
(2)Expiration Date, also referred to as exercise date: If the option brought by you expires on December 18, 2015, then that day is the expiration date.
(3)Open Interest: The quantity of contracts that are not due and executed yet.
(4)Contract: Unit of option is contract, and each contract represents ownership of 100 shares.
(5)Settlement type: Stock options are generally settled in the form of Physical settlement.
 
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