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Volatility Strategies Calculators

Long Straddle

P&L analysis

Limited-risk strategy with max profit / max loss / breakeven outputs.

Calculate

Long Strangle

P&L analysis

Limited-risk strategy with max profit / max loss / breakeven outputs.

Calculate

Short Straddle

P&L analysis

Limited-risk strategy with max profit / max loss / breakeven outputs.

Calculate

Short Strangle

P&L analysis

Limited-risk strategy with max profit / max loss / breakeven outputs.

Calculate

Pure volatility plays — long and short straddles and strangles. Long is for buying volatility (expecting a big move); short is for selling volatility (expecting calm).

When to use these calculators

Volatility strategies bet on the SIZE of the move, not the DIRECTION. Long straddles/strangles profit on a large move in either direction; short variants profit when the underlying stays in a defined range.

All calculators on this page are EDUCATIONAL tools, not financial advice. Verify P&L numbers against your broker's risk tool before trading.

Frequently Asked Questions

How accurate is the calculator?
The calculator uses standard textbook formulas (Black-Scholes for pricing, geometric P&L for spread strategies). For pricing-sensitive trades, the result is informational; brokerages may use proprietary models with slight differences. Always verify with your broker before entering a live trade.
Is this advice to enter a trade?
No. These calculators are educational tools that compute the standard math behind options strategies. They are NOT financial advice. Always consult your own analysis, broker tools, and a qualified financial advisor before entering a trade.
What's the difference between this and my broker's P&L tool?
Brokers often have proprietary risk models and use real-time data; these calculators use textbook formulas with user-provided inputs. They produce equivalent results for most standard strategies. Differences emerge in non-standard situations: early-assignment scenarios, dividends, hard-to-borrow stocks, after-hours pricing.