Disclaimer: This content is for educational purposes only and does not constitute financial advice. Options trading involves substantial risk and is not suitable for all investors. Barrier options are complex instruments; you should fully understand their terms and risks before trading.
A: Usually “touch” means any time including at close. Most contracts define that if spot ≥ B at expiration, option knocks out. Check contract terms. barred call
Example: S=100, K=110, B=90. If stock falls below 90, option dies. Used when you’re bullish but want protection against a sharp drop killing the option (cheaper than vanilla but risky). Disclaimer: This content is for educational purposes only
