You are long the June 120 call from the table above, which has 51 days to expire. The underlying stock price is 125.94, and the current delta is .71. With all other variables being equal, if 30 days pass and the stock is still 125.94, the following statements about the new delta are most correct. (hint: think of the probability of the June 120 calls now finishing in the money after time has passed)

the delta will be closer to zero since the June 120 call is out-of-the-money

the delta will be closer to 100 than zero

the delta will be closer to 50

the delta will still be .71

You are long the June 130 call from the table above, which has 51 days to expire. The underlying stock price is 125.94, and the current delta is .32. With all other variables being equal, if 30 days pass and the stock is still 125.94, the following statements about the new delta are most correct. (hint: think of the probability of the June 130 calls now finishing in the money after time has passed)

the delta will be closer to zero

the delta will be closer to 100 than zero

the delta will be closer to 50

the delta will still be .32

Answer rating: 100% (QA)

Question one Answer a the delta will be closer to zero since the June 120 call is outof... View the full answer