A barrier option is a type of option where the payoff depends on whether the underlying asset reaches or exceeds a predetermined price or barrier. Time 3of9 expiration time τ? Digital barrier option. 3 conditional valuation of barrier options with incomplete. The main idea of the new approach is to use an exceedance probability and uniformly? Introductiona binary barrier option is a type of digital option for which an option. Information 1 introduction a barrier option is a path. A barrier option is an option whose existence depends upon the underlying asset. Dependent derivative, similar to a standard option with the.