Short Straddle Calculator
Sell a same-strike call and put: enter strike, both premiums and the expiry underlying price to see the credit zone and P&L.
Results
Fill in the inputs and click Calculate.
- Total Credit
- –
- Expiry P&L
- –
- Lower Break-even
- –
- Upper Break-even
- –
Risk disclaimer
Short options carry unlimited theoretical risk. This page shows math only, not advice.
What does a short straddle earn?
Sellers profit when price stays put: if the underlying expires near the strike, both premiums are kept.
The risk is either breakout — large moves can far exceed the premium, with no theoretical cap.
How to use
- Enter the strike shared by the sold call and put.
- Enter the two premiums received.
- Enter the underlying price at expiry (or a scenario) and click Calculate.
Formula
- Credit = call premium + put premium
- Expiry P&L = credit − |expiry − strike|
- Break-evens = strike ± credit
Example
Strike 20,000, credit 400, expiry 19,800 → P&L = 400 − 200 = 200.
Losses start below 19,600 or above 20,400.
FAQ
Is the loss capped?
No — big one-sided moves can exceed the premium with no cap. Trade with full margin and risk controls.