Forex options trading is one type of transaction done in the world of foreign currency trading. In line with this, several option styles are employed in forex trading. The four option styles are the European option (an option which is exercised only during the expiry date), the American style (an option exercised on any trading day as long as it is before the expiry date), the Barrier option (wherein price of the option must reach trigger level before it can be exercised) and the Bermudan option (option which can only be exercised on a specific date on or before the expiry date).

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