# Strike Price

*Derivatives & Options — Finicade finance glossary*

The fixed price at which an option lets you buy or sell the underlying. Where the strike sits relative to today's price — the option's moneyness — is what decides how much of its value is real and how much is hope.

**Also known as:** strike, exercise price

**Related terms:** [Option](https://finicade.com/glossary/option), [Moneyness](https://finicade.com/glossary/moneyness), [Intrinsic Value](https://finicade.com/glossary/intrinsic-value)

**Taught in:** Hull Street — How Options Work

Source: https://finicade.com/glossary/strike-price