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Message: <blockquote data-quote="Sanathbh" data-source="post: 21771857" data-attributes="member: 37620">An ITM (In the Money) placement indicates that in an active binary options trade, the asset price is presently in a profitable position. For instance, should you have decided upon a Call position and the asset price is now higher than the price point when the trade was initiated, then that trade is said to be in the money at that point. In a closed trade, an ITM placement is one which ended in the placement you anticipated and so, ended in profit.On OTM (Out Of the Money) placement is exactly the reverse. In an open trade, it indicates that the asset price is presently in a position that will not return a profit. An out of the money end occurs when your asset price forecast was not correct and therefore you lose your investment money. Needless to say, it is ideal for binary options trades to be in OTM placements as infrequently as is possible. If too many trades are finishing out of the money, corrections need to be made to your strategy and approach.An additional term is used which describes a tie. This is ATM (At the Money). The ATM position in an active trade is one wherein the closing asset price is identical to the entering price. In a trade that has ended, it means an end result of the closing price being precisely the same as the beginning, or entering price. When this happens, the investment funds are returned to you, the trader. Essentially, the position closes as a tie.</blockquote>

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