Ikin Solihin, Sugiarto, Gracia Shinta S. Ugut, Edison Hulu, Tufrida M. Hasyim
Options are one of the important instruments in the capital market. In Indonesia, the stock option market has not run since 2010. This study wants to discover if the Indonesian option is exercised, whether it generates profit for the seller and the buyer of the option. The calculation of stock option prices is calculated using the Black-Scholes-Merton model by taking into account several factors such as the Weighted Moving Average (WMA), strategy, interest rate, dividends, and volatility. There are three volatility models used to calculate option prices. From the calculated option prices, the yield for each sample of options is obtained. The results show that both the writer's position and the option taker's position can benefit. The advantage of each position is different; where the writer has a greater profit potential than the taker in both put and calls options.