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ITM
ITM, or In the money, is an expression that refers to an option that possesses intrinsic value.
A call option is ITM if the strike price is below the price of the equity in question.
Example: With AAPL trading at $182.50 a 180C would be $2.50 ‘in the money.’
A put option is ITM if the strike price is above the price of the equity in question.
Example: With AAPL trading at $182.50 a 185P would be $2.50 ‘in the money.’
An option can also be out of the money (OTM) or at the money (ATM).