Bull Call Spread Calculator

Calculate max profit, max loss, breakeven, and risk/reward for a bull call spread (debit call spread). Enter your strikes and premiums to evaluate the trade before you place it.

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Enter your bull call spread details above, then click Calculate Spread to see max profit, max loss, breakeven, and risk/reward at expiration.

For educational purposes only. Not financial advice. Read full disclaimer

Bull Call Spread Formulas

Net Debit = Long Premium - Short Premium

Max Profit = (Short Strike - Long Strike - Net Debit) x 100 x Contracts

Max Loss = Net Debit x 100 x Contracts

Breakeven = Long Strike + Net Debit

Risk/Reward = Max Loss / Max Profit

Return on Risk = (Max Profit / Max Loss) x 100

Worked Examples

Example 1: AAPL Bull Call Spread

AAPL is trading at $175. You buy the 175 call for $6.00 and sell the 185 call for $2.50 (1 contract).

  • Net Debit = 6.00 - 2.50 = $3.50 per share ($350 total)
  • Max Profit = (185 - 175 - 3.50) x 100 = $650
  • Max Loss = 3.50 x 100 = $350
  • Breakeven = 175 + 3.50 = $178.50
  • Return on Risk = 650 / 350 x 100 = 185.7%

Example 2: SPY Narrow Spread

SPY is at $450. You buy the 450 call for $8.00 and sell the 455 call for $5.50 (2 contracts).

  • Net Debit = 8.00 - 5.50 = $2.50 per share ($500 total)
  • Max Profit = (455 - 450 - 2.50) x 100 x 2 = $500
  • Max Loss = 2.50 x 100 x 2 = $500
  • Breakeven = 450 + 2.50 = $452.50
  • Risk/Reward = 500 / 500 = 1.00 : 1

How to Use This Calculator

  1. Enter the long call strike — the lower strike you are buying. This is usually at-the-money or slightly out-of-the-money.
  2. Enter the short call strike — the higher strike you are selling. The distance between strikes determines the spread width.
  3. Enter the long call premium — the per-share price you pay for the lower-strike call.
  4. Enter the short call premium — the per-share credit you receive for selling the higher-strike call.
  5. Set the number of contracts — each contract represents 100 shares.
  6. Click Calculate Spread — review max profit, max loss, breakeven price, and risk/reward ratio.

Frequently Asked Questions

What is a bull call spread?
A bull call spread is a bullish options strategy that involves buying a lower-strike call and selling a higher-strike call with the same expiration. You pay a net debit to enter, cap your profit at the spread width minus the debit, and limit your loss to the debit paid.
When should I use a bull call spread instead of buying a call?
Use a bull call spread when you expect a moderate move higher, not an explosive rally. Selling the higher-strike call reduces your cost basis and breakeven compared to a naked long call, but it also caps your upside. This makes sense when you want defined risk and lower capital outlay.
How does implied volatility affect a bull call spread?
High IV inflates both premiums, but since you are buying and selling a call, the effects partially offset. The net vega of a bull call spread is small. However, entering during high IV means you pay a larger net debit, which raises your breakeven and reduces max profit.
What happens if the stock is between the two strikes at expiration?
If the stock closes between the long and short strike at expiration, the long call has intrinsic value while the short call expires worthless. Your profit equals the stock price minus the long strike minus the net debit, multiplied by 100 shares per contract.
Can I close a bull call spread before expiration?
Yes. You can close both legs at any time by selling the long call and buying back the short call. The spread's market value before expiration depends on the underlying price, time remaining, and implied volatility. Closing early lets you lock in partial gains or limit losses.