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hello guys in this knowledge module we will learn about the currency options and this is these currency options are similar to the stock options but in case of the stock the underlying asset is a stock over here the underlying asset is a currency so the currency option uh gives right to buy or sell the underlying currency at a given price and the the transaction will be conducted on the specific date the difference between the fro the forward and the option contract is that in case of forward contract once you enter into a forward current contract thats an obligation but the option contract is not an obligation so if im buying the contract the the option contract that is giving me the right whether to exercise my contract or not to exercise my contract and well see um and understand about it with a specific example once we move ahead so it is not the right like it is actually the right to buy the underlying currency at a specific rate if the market uh prices of the price of that cur
