Sell a call and buy a further-out-of-the-money call above it. The net credit is kept if the stock stays below the short strike; the long call caps the risk if it rips. The bearish twin of the bull put spread.
Premiums start as Black-Scholes model values — overwrite them with your broker’s real quotes for exact numbers.
| price | today | +4d | +8d | +11d | +15d | +19d | +23d | +26d | expiry |
|---|---|---|---|---|---|---|---|---|---|
| 130.0 | -524 | -528 | -530 | -532 | -533 | -534 | -534 | -535 | -535 |
| 125.0 | -508 | -515 | -521 | -525 | -530 | -533 | -534 | -535 | -535 |
| 120.0 | -471 | -482 | -493 | -501 | -513 | -523 | -531 | -534 | -535 |
| 115.0 | -399 | -411 | -424 | -436 | -454 | -476 | -502 | -523 | -535 |
| 110.0 | -284 | -291 | -299 | -307 | -320 | -339 | -367 | -402 | -535 |
| 105.0 | -139 | -136 | -133 | -129 | -123 | -115 | -101 | -82 | -35 |
| 100.0 | -1 | 10 | 22 | 34 | 52 | 75 | 106 | 135 | 165 |
| 95.0 | 97 | 107 | 118 | 127 | 139 | 151 | 161 | 164 | 165 |
| 90.0 | 145 | 151 | 156 | 159 | 162 | 164 | 165 | 165 | 165 |
| 85.0 | 161 | 163 | 164 | 164 | 165 | 165 | 165 | 165 | 165 |
| 80.0 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 |
| 75.0 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 |
| 70.0 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 | 165 |
Dollar P&L for the whole position. Pre-expiry cells are model values (constant IV); real marks will differ with volatility and skew.
An options position is a view on the company underneath. Our SEC-grounded verdicts, quality scores and filings coverage are free for every US-listed name.
Educational model, not trade advice. Options involve substantial risk and are not suitable for every investor — read the OCC’s Characteristics and Risks of Standardized Options. Model values use Black-Scholes with your inputs (constant volatility, European exercise, no dividends) and will differ from live market prices.
Research and education only — not financial advice. TENKis not a registered investment adviser or broker-dealer and gives no personalized advice. Every call is impersonal — identical for all users, generated on a schedule from SEC filings plus a delayed/third-party price feed — may be wrong or out of date, and is not a recommendation to buy or sell any security. The operator and an affiliated trading operation may hold or trade the securities TENK rates; see Disclosures. Past performance does not guarantee future results. Do your own research.