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Strike Price
The strike price is the price specified in an option contract at which the underlying asset can be bought or sold if the option is exercised according to its terms. For a call, it is the price at which the holder has the right to buy. For a put, it is the price at which the holder has the right to sell.
Why it matters to you
The strike price is central to determining an option's moneyness and intrinsic value. If AMZN trades at $270 and you own a $260 call, the strike remains $260 regardless of AMZN's current market price.