Bullish strategy · Intermediate
Market outlook Bullish
Long call and short put at same strike mimic long stock.
Each row reprices every live leg independently. Entry premiums stay fixed.
| Underlying price | Move | Profit / loss |
|---|
Dollar-scaled for each leg's quantity, multiplier, expiry, and IV. Theta is per day; vega and rho are per one percentage-point move.
| Leg | Delta | Theta/day | Vega |
|---|
Strike configurations
Use a call strike above and put strike below the current price instead of the same strike for both.
Key difference: Lower or zero upfront cost with a flat zone between the strikes, closer to a risk reversal.
Best for: Traders who want cheaper stock-like exposure and can tolerate a small dead zone near the current price.
Regularly roll both legs forward to a new expiration before they expire, maintaining continuous exposure.
Key difference: Avoids assignment and expiration mechanics, functioning as an ongoing leveraged stock substitute.
Adjustment: Close both legs and re-open at the next monthly expiration and current strike.
Best for: Traders using this as a capital-efficient long-term stock replacement.
Common questions
A synthetic long requires far less capital than buying shares outright — only margin for the short put — while delivering nearly identical dollar-for-dollar exposure to the stock's price.
The short put carries the same downside as owning the stock outright — losses are effectively unlimited down to zero — plus assignment risk if the put goes in-the-money.
They're closely related. A synthetic long uses the same strike for both legs; a risk reversal typically uses different strikes for the call and put, creating a flat zone between them.
Yes — the short put leg requires margin or cash-secured collateral just like a standalone cash-secured put, since assignment obligates you to buy the stock.
Deep dive
Detailed explanations, management techniques, and real-world scenarios
Scenario Lab
Explore how this position changes before expiration
Quick reference
Quick answers about when to use, capital needed, and key risks
Profit and loss
Compare max profit, max loss and break-even across common strategies
Custom calculator
Combine calls, puts, stock, quantities and different expirations
Risk sensitivity
Inspect Delta, Gamma, Theta, Vega and Rho
Same market view
Every bullish structure on the site, ranked by risk and capital needed
Same experience level
Structures with a comparable learning curve to the synthetic long stock
This calculator uses exact intrinsic value at a leg’s expiration and Black–Scholes theoretical value while that leg remains open. Position Greeks use the same visible legs and model assumptions. Results exclude fees, tax, liquidity, margin, early exercise and assignment behavior. Educational illustration only—not financial advice.