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Bear Call Spread

Sell ATM Call
+ Buy OTM Call

Expectation : Moderately Bearish

Profit When : Down or Stagnant

Risk : Limited

Reward : Limited

Breakeven Pt : Lower Strike + Net Credit

Max Profit : Net Credit

OppiE's Note : Bear Call Spread is a credit spread which reduces margin requirement through the purchase of the additional OTM call. Without that OTM call, it would simply be a naked call write.

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