print Calendar Put Spread Printable Version

Calendar Put Spread Risk Graph

Calendar Put Spread - Components

 Buy At The Money (ATM) LEAPS Put options and then sell ATM near term Put options against the LEAP put options.

Buy Long Term ATM Put + Sell Near Term ATM Put



Calendar Put Spread - Expectation

Stagnant & Moderate Down



Calendar Put Spread - Risk / Reward

Maximum Profit: Limited

Maximum Loss: Limited



Calendar Put Spread - Breakeven Point

Stock Price when long put value is equal to net debit (calculated using Black Scholes Model)







Copyright © 2007 www.OptionTradingPedia.com

Note : You may freely print and distribute this page. Please do not alter any of its contents. This chart is for general reference only and not to be taken as an invitation or instruction to trade. Best printed in color.