Long Call Calculator
A Long Call is the most fundamental options trading strategy. It is highly bullish and allows you to profit from unlimited upward price moves of an asset while strictly capping your potential loss to the initial premium paid.
This strategy involves purchasing a single call option. If the underlying price rises above the strike price plus the premium, you profit. Since the underlying asset can theoretically rise to infinity, your upside potential is completely unlimited. If the stock falls, your option simply expires worthless, and you lose only the premium.
Simulates P&L if the underlying closes at any price at expiry.
Frequently Asked Questions
Is the profit potential of a Long Call really unlimited?
Yes, because the price of the underlying stock can theoretically rise infinitely, your profit potential is unlimited.
What is the risk of buying a call?
The maximum loss is capped at the exact premium paid to buy the option. There are no margin requirements or collateral requirements.