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OptionsA
At The Money
An option where the strike price is equal to (or very near) the current market price of the underlying asset. At-the-money options have the highest time value and are most sensitive to changes in implied volatility. They are frequently used by options traders seeking balanced exposure to directional moves in either direction.
Example
“I bought an at-the-money call option on SPY because I wanted maximum sensitivity to an expected upside move.”