knock-out option

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Knock-out option

An option that- is worthless at expiration if the underlying commodity or currency price reaches a specific price level.

Knock-Out Option

An option contract that automatically expires, even before the expiration date, if the underlying asset reaches a certain price that would be disadvantageous to the option writer. If this price (called the knock-out) is reached, the option becomes worthless. Most of the time, the knock-out results in the holder losing the premium, though some knock-out options, known as rebate barrier options, refund part of it. See also: Barrier option.

knock-out option

An option that loses its entire value in the event the underlying asset crosses a predetermined price level.
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There is a battle record which says how long you've played, your battle time, how many knock outs you've had since you last played and how long you survived since the last time you played.
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