Options 101: Today we are joined by Dan Cook from Nadex. He walks us through the following:

• What is a binary option?
• How does the pricing work vs. standard options pricing?
• How do the ticks work?
• Is there a multiplier?
• Does the price represent the pure probability of an option expiring in-the-money?
• How does expiration work?
• What about the final minutes around expiration?
• What is the farthest out you can trade a binary on Nadex?
• The Greeks: Binaries vs. Standard options
• Which underlyings offer binaries?
• How can you trade binaries?
• What is a typical binary use case?

Mail Call: Get your questions answered by the team.

• Question from Jeb16 - I have seen a number of sports books online offering products that appear to be sports derivatives. Is it possible to trade actual products based on sports outcomes or other event-type derivatives in a legal exchange-traded form in the U.S.?
• Question from Amelia G. - Do you notice anything different in the options trading in higher volume products vs. lower volume products?