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Must-Know for New Derivative Traders: Do Out-of-the-Money (OTM) Options Really Expire Worthless?

What happens on the expiry day to OTM Options? 

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Of course, you may notice an apparent value of Rs 0.05 for OTM options close to expiry, known as the Last Traded Price (LTP). However, it's crucial to distinguish LTP from the actual value of the option on expiry.

Heres how to trade options during the corporate results for quick profits!

Let us now understand how earnings can affect an underlying as well as that underlying's option market.

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Typically, as the earning announcement gets closer, implied volatility tends to shoot up in anticipation that a huge move might occur in the underlying due to earning announcement

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