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in this video I want to discuss the concept of currency options now some of you may have studied stock options which are basically the same thing as currency options options give the holder the right but not the obligation to buy something if its a call option or sell something if its a put option in the case of stock options that would be a share of stock in the case of currency options it happens to be units of the foreign currency okay and the price that you can buy or sell at is referred to as the strike or exercise price and options expire so theres a specific time period that you can use these in all right one good example of an option that many of you are familiar with is insurance if you happen to have a car you are required to have auto insurance now if you get into an accident do you have to file claim well not necessarily if you just have a little fender-bender with your carport you dont necessarily have to file claim if its in $800 worth of damage to your car you have