Booyah Breakdown: Know Your Options

Editor's note: Welcome to "Booyah Breakdown," an explanation of terms and topics Jim Cramer discusses on his "Mad Money" TV show. Feel free to ask a question if you're confused about something Cramer talks about, but please keep in mind that we do not provide advice on specific stocks.

Most professions have their own lingo. An accountant talks debits and credits, a lawyer strings archaic words together -- "herewithin, theretofore" -- and Cramer says things like "'mon back" and "pin action."

Options traders have their vernacular as well. And Cramer often talks about using options to hedge his bets. So if your ultimate goal is to emulate skeedaddy, you better learn the language of options because Cramer uses the jargon. ...