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TFC Commodity Trading Forum

how to determine price of an option

Good day everyone.

I am a new trader, I am learning how to trade with options. However I find trying to figure out the cost of a commodity option. I have read about it but I think I need it broke down some more..as if you are explaining it to a child..I just want to have a simple A, B, C explanation..nothing complicated..very simple and easy to understand in like three easy steps or so..hope some one can help..Thanks a bunch