Bull Call Spread Calculator
bullishA bull call spread is a vertical debit spread: you buy a lower-strike call and sell a higher-strike call at the same expiration. It reduces cost vs. a naked long call while capping your upside at the short strike.
Max Profit
(Width of strikes − Net debit) × 100
Max Loss
Net debit paid × 100
Break Even
Long strike + Net debit
When to Use a Bull Call Spread
- You are moderately bullish — expecting a move up but not an explosion
- You want to reduce the cost of a long call by selling a higher-strike call
- Implied volatility is elevated, making naked long calls expensive
- You want defined risk on both sides
Risks
- Max profit is capped at the short strike — you miss out on large moves
- You still lose the full debit if the stock is below the long strike at expiry
- Time decay works against you (net debit position)
How a Bull Call Spread Works
Buy a call at strike A and sell a call at strike B (B > A), same expiration. The short call partially finances the long call, lowering your breakeven and cost.
Example
AAPL at $195. Buy the $195 call for $5.80, sell the $205 call for $2.20. Net debit: $3.60 ($360).
Key Takeaway
Bull call spreads trade unlimited upside for a lower breakeven. They shine in moderately bullish scenarios where you expect the stock to reach but not blow past the short strike.