Common comparison error
Touching and crossing are not interchangeable in Strike distance; written equality and At the money ATM decide.
GlossaryPricing & settlement
Strike distance
The absolute or percentage difference between the current reference price and the selected strike. It helps compare strike-selectable digital-option payouts.
Practical use
How to verify Strike distance
Read Strike distance together with Barrier distance, At-the-money (ATM), Strict strike condition. The comparison must preserve the exact rule, value, state, and evidence described below.
A neutral example
With spot 100, Strike distance uses lower 95 and upper 105. A path touching exactly 105 tests equality, quote side, monitoring frequency, and Barrier distance. Strike distance is distinguished here by one decisive fact: the numerical or percentage gap between spot and selected strike changes both condition and quoted payout.
Evidence path
Where to verify Strike distance
Use the source that governs the exact contract, account, entity, or platform state. A general definition cannot replace current broker terms.