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What are the classifications of foreign exchange options

by Victor

1. Call options and put options are divided into call options and put options according to the trading purpose of the option holder.

A call option, also called a call option;

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A put option, also known as a put option.

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2. Divided into options and options according to the original financial products that generate option contracts.

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Spot option, that is, spot as the underlying asset of the option contract;

Foreign exchange futures options, that is, futures contracts as the underlying assets of options contracts.

3. According to the time when the option holder can exercise the delivery right, it is divided into European option and American option.

European option, in which the holder of an option has until 9:30 a.m. New York time on the expiration date to exercise or not exercise the option contract;

An American option in which the holder may elect to exercise or not exercise the option contract before 9:30 A.M. New York TIME on any business day prior to the expiration date of the option.

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