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What Is the Term for an Option That Is Almost Worthless?

A "penny option" or a "deep out-of-the-money" (DOTM) option.
Greeks.Live22.11.25

What Is the Term for an Option That Is Almost Worthless?

The term for an option that is almost worthless is a "penny option" or a "deep out-of-the-money" (DOTM) option. It is an option with a very low premium, consisting of minimal time value and zero intrinsic value.

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