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Volatility Strategy

Straddle Calculator

Calculate potential profit and loss for straddle positions. Profit from big price moves in either direction.

VolatileLimited RiskUnlimited Reward

A long straddle involves buying both a call and put at the same strike price. You profit when the stock makes a large move in either direction, exceeding the total premium paid.

Straddle Configuration

Current price: $100.00

Option Premiums
Trade Summary
Net Debit$1,000.00
Max ProfitUnlimited
Max Loss$1,000.00
Breakevens$90.00, $110.00
Payoff at ExpirationStock Price vs Profit/Loss
Current: $100.00
Breakeven: $90.00, $110.00

Max Profit

Unlimited

Max Loss

$1000.00

Total Premium

$1000.00

Strike Price

$100.00

Lower Breakeven

$90.00

Upper Breakeven

$110.00

Understanding Straddles

A straddle involves buying or selling both a call and a put at the same strike price and expiration. It's a volatility play - long straddles profit from big moves, while short straddles profit from stability.

Long Straddle

  • • Buy call + buy put at same strike
  • • Pay net debit
  • • Profit from large price movement
  • • Limited risk, unlimited reward

Short Straddle

  • • Sell call + sell put at same strike
  • • Receive net credit
  • • Profit from price stability
  • • Unlimited risk, limited reward

Key Formulas

Breakeven Points

Upper = Strike + Total Premium | Lower = Strike - Total Premium

Long Straddle Max Loss

Max Loss = Total Premium Paid

Related Calculators

Strangle CalculatorIron Condor CalculatorButterfly Calculator

Track Your Volatility Trades

Import your straddle trades and analyze performance across market conditions.

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