Dopex-Essentials

# Moving on…

###### Okay; but why does this matter? To answer that, we will have to ask ourselves a couple of questions:
1. Why does a change in the delta value matter?
2. How exactly can we estimate the likely change in the delta value?

# Glossary of terms

###### In the money (ITM):
• For a call — this term is used when the strike price is lower than the current price of the underlying asset.
• For a put — this term is used when the strike is higher than the current price.
###### At the money (ATM):
• For both a call and a put — this term is used when the strike is equal to the current price.
###### Out of the money (OTM):
• For a call — this term is used when the strike price is higher than the current price of the underlying asset.
• For a put — this term is used when the strike is lower than the current price.

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