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Research & education only — not financial advice.TENK is not a registered investment adviser; calls are impersonal, generated from SEC filings and a delayed/third-party price feed, and may be wrong or out of date. The operator and an affiliated trading operation may hold or trade the securities TENK rates — see Disclosures. Do your own research.

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TTENK/calls
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Home›Options calculator›Call ratio backspread

Call ratio backspread calculator

bullish

Sell one lower-strike call and buy two higher-strike calls, same expiry. The extra long call gives unlimited upside if the stock rallies hard; a modest move that stalls between the strikes is the worst case. Often opened for a small credit or near-zero cost.

Underlying (optional)
Market inputs

Premiums start as Black-Scholes model values — overwrite them with your broker’s real quotes for exact numbers.

Legs
1 contract = 100 shares
Net credit
$166
Max profit
Unlimited
Max loss
−$632
Breakevens
101.66 / 114.34
Profit / loss at expiry
at expiry today (model)
50spot 100.00173
Delta
-11.6
shares-equivalent
Gamma
2.06
Δ per $1
Theta / day
−$2.42
time decay
Vega / 1%
$5.07
per vol point
P&L by price and date (Black-Scholes, IV 30%)
pricetoday+4d+8d+11d+15d+19d+23d+26dexpiry
130.01.6k1.6k1.6k1.6k1.6k1.6k1.6k1.6k1.6k
125.01.1k1.1k1.1k1.1k1.1k1.1k1.1k1.1k1.1k
120.0697672647630608590577572566
115.03302942562261841421017766
110.083440-36-91-155-236-313-434
105.0-18-47-78-103-139-181-231-277-334
100.00-8-16-19-20-13840166
95.071768491105123144159166
90.0130137144149156162165166166
85.0158160163164165166166166166
80.0165165166166166166166166166
75.0166166166166166166166166166
70.0166166166166166166166166166

Dollar P&L for the whole position. Pre-expiry cells are model values (constant IV); real marks will differ with volatility and skew.

Other strategies

  • Long call
  • Long put
  • Covered call
  • Cash-secured put
  • Bull call spread
  • Bear put spread
  • Iron condor
  • Long straddle
  • Long strangle
  • Collar
  • Bull put spread
  • Bear call spread
  • Butterfly spread (calls)
  • Iron butterfly
  • Protective put
  • Short straddle
  • Short strangle
  • Call condor
  • Butterfly spread (puts)
  • Put ratio backspread
  • Jade lizard

Common questions

What is the max profit on a call backspread?
Unlimited. Above the long strikes the two long calls outrun the single short call, so profit grows point-for-point on the extra contract as the stock keeps rising.
What is the max loss on a call backspread?
Defined and limited: the largest loss occurs if the stock finishes right at the long strike at expiry, where the short call is in the money but the long calls are worthless. It equals the strike width minus any net credit (or plus any net debit), times 100.
When do traders use call backspreads?
When they expect a large upside move and want unlimited participation, accepting a small defined loss if the stock only drifts higher. It is a long-volatility, bullish structure.

Research the underlying

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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.