A type of barrier option in which the spot price of the underlying is set below the barrier level, and the price of the underlying must close up in order to be knocked out or cancelled. It is named "up-and-out" because the right to exercise the option disappears if the price of the underlying is above the barrier.
Related information about up-and-out barrier option:
- What is up-and-out barrier option? definition and meaning
Definition of up-and-out barrier option: A type of barrier option in which the spot price of the underlying is set below the barrier level, and the price of the ...
- Exotic Options - Barrier Options
Up-and-Out Barrier Options: An up-and-out barrier option is similar to a down- and-out barrier option, the only difference being the placement of the barrier.
- Barrier Options by OptionTradingpedia.com
Up-and-Out : Barrier option becomes de-activated if the underlying asset moves up beyond the barrier price. :: Down-and-In : Underlying asset needs to move ...
- Exotic option pricing Binary options Barrier options
For example, an up-and-out barrier option could trigger a payment of B − K if the asset reaches the barrier value B. This correspond to a policy of forced early ...
- An efficient algorithm for Bermudan barrier option pricing
barrier option is an up-and-out barrier option that cease to exist if the asset price Stk hits the barrier level H at one time tk ∈ T, and it can also be exercised at any ...
- Barrier Options - Binary Options & Commodity Trading Companies ...
Dec 6, 2011 ... Up-and-out barrier option: This option is similar to the down-and-out barrier option but it differs in setting of the barrier. Instead of the option ...
- The Valuation of American Barrier Options Using the Decomposition ...
e.g., j = uo" denotes an up-and-out" barrier option. Cj : the price of a non-standard American call option of type j. p : the price of a standard European put option.
- Wilmott Forums - Fastest numerical method to price barrier options?
E.g. for Black-Scholes with constant interest-rate and constant volatility, there are very fast analytic solutions (Up-and-out-barrier option: ...