Futures Trading Terms Glossary

LONG OPTION VALUE

Welcome to the RJO Futures trading terms glossary. Within this glossary, you will find an expansive list of trading terms covering commodity, option, and futures trading terminology. Bookmark this section as a quick reference for definitions of trading terms as you browse the Internet and our site for more information on futures and options trading within the financial and commodities markets.

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Long Option Value×

A long option value is the current marketplace value of all long options in a trading account. Options marked to the last reported price. Market movement may cause bids and offers to be away from the last reported price. Essentially, a long option value is calculating how much cash would flow into the client’s account if the option were hypothetically offset at the current market value. This is another tool traders use to figure out where they stand in the marketplace and how their transactions are currently fairing. However, the long option value is a fluid number, it changes as the market changes, so once again, it is not the “end all be all” number.