Bull PUT Spread Simulator

1. Underlying price now – current stock price (e.g., 158).
2. Price range ±% around current – how wide to see P&L (e.g., 30%).
3. Graph resolution – smoothness (e.g., 100 points).

Tip: these do not change option pricing—only the chart axes and slider.

Click “+ Add bull put spread” and enter, per leg:

• Short K – put you sell (higher strike in a bull put).
• Long K – put you buy (lower strike = protection).
• Qty – number of spreads.
• Credit / spread – premium per 1 spread received (before fees).

Each row shows its own max profit/loss; the table footer totals all legs.

• Net credit received – total premium collected.
• Max profit – equals net credit if all spreads expire OTM.
• Max loss – worst case if all spreads finish ITM (width − credit).
• Collateral at risk – capital your broker earmarks (max width × qty − credit).

Drag the Price at expiry slider to see total P&L at expiration. The chart draws the combined payoff curve.

If price moves against you, add a second bull put spread (closer to price and/or wider) on the same expiration.

• Goal: collect extra credit to offset losses on the first leg.
• Risk: more collateral/width & closer strikes increase downside if selloff continues.
• Use the chart to check breakeven and new max loss before placing in real life.

Common pattern: start small (e.g., 1–2 contracts) and keep reserve capital for a rescue leg only if needed.

• Capital slice: use ~15–20% of account across 4–6 legs; leave rescue cash free.
• Targets: aim for 20–35% ROI on width for primary legs; rescue aims to net ~5% weekly on deployed cash.
• Boundaries: avoid earnings/major news; prefer liquid names with tight spreads.