➥ Hypergrowth Options Strategy Course:
💻 Trade Options with tastytrade ($100 – $2,000 Funding Bonus):
Learn how to profit from stock market declines with the bear call spread (short call spread) options strategy.
In this video, we’ll cover exactly what the bear call spread is, how to set the trade up, and show examples of when the strategy makes money and loses money.
Selling a call spread is a bearish strategy constructed with call options.
How to set up the trade:
1. Sell a call option
2. Buy another call option at a higher strike price (same quantity and expiration)
When you sell a call spread, you want the stock price to decrease, but it is still possible to make money if the stock price increases slightly.
In this video, we’ll break down how the strategy makes or loses money by visualizing the expiration payoff diagram, as well as plotting the performance of a short call spread over time using real option data.
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