The Trinomial Options Pricing model is quite comparable to the Binomial model in than it is an open-form model that contrives a multitude of potential solutions as to the options price during the duration of the option preceding expiry. Conversely, the Trinomial model institutes three potential modes of price movement in its analysis; (i.e. appreciation, depreciation, or stagnation). The outcome of stagnation, or the current price remaining constant is the third factor that distinguishes it from its binomial counterpart which confers a mere two possibilities; (i.e. appreciation or depreciation). This model is inferior to its counterpart as its assumption of prices remaining static is demonstrably untrue for most securities in question, and as such it will not be elaborated upon further, nor will a spreadsheet, video, or reference link be made available due to its proven inadequacies. It was simply appended to elucidate its existence and application as some may question its omission from this section.
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