Stock warrants STRIKE PRICE?
Can someone explain what a stock warrant STRIKE PRICE is? I am looking at various stock charts for different stock warrants-where do i find Strike Prices for these things?
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- A strike price for a derivative is simply the monetary point at which you will be in the money. For example, you buy Jan GM Calls at 35. That's the strike price. As long as the actual price (spot price) of GM is above the strike price (35) you will be in the money. The opposite is true for Puts (i.e., Jan GM 35 Put would need to have a spot price below 35).
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