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Many of you have questions around options expiration and how a trade might end. So in this video, well discuss what rights and obligations of options, being in and out of the money, how to avoid assignment, and a few risks you should be aware of. Hello, my name is John McNichol, and this is Comment Below. OK, so what are expiration dates? The expiration is when the option stops trading. This is typically going to be the third Friday of each month for standardized option contracts. However, there are other contracts called weekly options, that may expire each and every Friday. Now what happens to this option position depends on if one is long or short the option and if that option is in the money or out of the money. The buyer of the option has the right, but not the obligation to buy or sell a stock at a certain price within a certain time-- the expiration. They can do this at any time up through that expiration. The seller has the obligation to buy or sell a stock at a particular pr
