What is whole-position terminal P/L at QLT 101.00, before costs?
Reveal the worked answer
$100.00
Use all signed legs, not just the winning leg. The popup and graph use the same ticket.
How does bear-put debit vertical express a moderately bearish view?
Read first: Read a contract and its premium, Rights, obligations and expiration, Defined payoff risk is not margin, Read the whole multi-leg ticket
A bear-put vertical buys the downside between two strikes. The higher put begins paying first; the lower short put eventually offsets additional gains. It fits a measured downside target more naturally than a thesis requiring unlimited crash participation.
Buy the 105 put for 6.50 and sell the 100 put for 3.50. The debit is 300. The five-point width caps terminal value at 500, making maximum profit 200 and loss 300 before costs. Breakeven is the long strike minus debit: 102.
BUY means you own an option right; SELL means you accept a short-option obligation. Positive quantities are long and negative quantities are short in the calculation. Check quantity, call/put, strike, multiplier and expiry before netting premium.
All legs in this example share November 20, 2026 expiration. The entry observation is October 6, 2026, with fictional QLT at 100. These are independent illustrative premiums, not a current option chain or executable quotes. The terminal diagram assumes every leg and any shares are resolved at one common settlement price.
Net Delta is generally negative, while curvature and volatility/time sensitivities change across strikes. A quick move below 100 need not make the pre-expiry closing quote equal the full width. Remaining time value still matters.
Compare available target distance with cost. When most possible value is already captured, weigh the small remaining reward against expiry and assignment risk. Use coordinated execution where available rather than stripping away protection first.
QLT • reference spot $100 • independent illustrative prices • quote date 2026-10-06
| Action | Qty | Type | Strike | Expiry | Premium/unit | Multiplier |
|---|---|---|---|---|---|---|
| BUY | 1 | Put | 105 | 2026-11-20 | 6.5 | 100 |
| SELL | 1 | Put | 100 | 2026-11-20 | 3.5 | 100 |
| Measure | Before costs | After stated entry fees |
|---|---|---|
| Maximum terminal profit | 200 | 198.7 |
| Maximum terminal loss magnitude | 300 | 301.3 |
| Breakeven settlement price(s) | 102 | 101.987 |
This is a mathematical expiry experiment using the displayed legs, not an executable quote. The slider range is not a risk limit.
$0.65 per option contract on entry only. No exit, assignment, financing or tax costs modeled.
Independent fictional premiums, not one simultaneous arbitrage-consistent chain. All legs realized simultaneously at intrinsic at the same expiry; terminal calculations do not model American early exercise, temporary unhedged positions, forced liquidation or live liquidity. Displayed chart domain is not a tail-risk cap.
Read the opening instructions: buy 1 105 put at 6.50; sell 1 100 put at 3.50. Option opening cash is $300.00 paid as a debit. A received credit is not earned profit while the obligation remains open.
Set the common settlement price to 101.00. Calls have intrinsic value max(S−K,0); puts have max(K−S,0). Subtract the opening premium from each intrinsic value, then multiply by signed quantity and the 100-unit multiplier. Shares contribute their price change from their own cost. The calculation popup shows every leg.
The combined result is $100.00 before costs and $98.70 after illustrative opening fees of $1.30. Exit fees, slippage, funding, dividends and taxes are not included. Opening fees are 0.65 per option contract, not a statement of any broker's pricing.
Maximum terminal profit is $200.00; maximum terminal loss magnitude is $300.00, before costs. Isolated zero-P/L settlement points in the model: 102. Move the scenario slider across each strike and explain why the slope changes there. A strike is a contract threshold, not a prediction.
This terminal model is useful for comparing risk shapes, but actual American-style assignment, share delivery, forced liquidation or a failed multi-leg exit can produce a different path. A long protective leg is not an automatic instruction that a broker must exercise it when another leg is assigned.
Vertical: P/L per complete ticket (USD)
Horizontal: Underlying settlement price (USD)
| Underlying settlement price (USD) | Combined terminal P/L before fees | Combined terminal P/L after entry fees | Leg 1: BUY 1 105 put | Leg 2: SELL 1 100 put |
|---|---|---|---|---|
| 85 | 200 | 198.7 | 1,350 | -1,150 |
| 85.4375 | 200 | 198.7 | 1,306.25 | -1,106.25 |
| 85.875 | 200 | 198.7 | 1,262.5 | -1,062.5 |
| 86.3125 | 200 | 198.7 | 1,218.75 | -1,018.75 |
| 86.75 | 200 | 198.7 | 1,175 | -975 |
| 87.1875 | 200 | 198.7 | 1,131.25 | -931.25 |
| 87.625 | 200 | 198.7 | 1,087.5 | -887.5 |
| 88.0625 | 200 | 198.7 | 1,043.75 | -843.75 |
| 88.5 | 200 | 198.7 | 1,000 | -800 |
| 88.9375 | 200 | 198.7 | 956.25 | -756.25 |
| 89.375 | 200 | 198.7 | 912.5 | -712.5 |
| 89.8125 | 200 | 198.7 | 868.75 | -668.75 |
| 90.25 | 200 | 198.7 | 825 | -625 |
| 90.6875 | 200 | 198.7 | 781.25 | -581.25 |
| 91.125 | 200 | 198.7 | 737.5 | -537.5 |
| 91.5625 | 200 | 198.7 | 693.75 | -493.75 |
| 92 | 200 | 198.7 | 650 | -450 |
| 92.4375 | 200 | 198.7 | 606.25 | -406.25 |
| 92.875 | 200 | 198.7 | 562.5 | -362.5 |
| 93.3125 | 200 | 198.7 | 518.75 | -318.75 |
| 93.75 | 200 | 198.7 | 475 | -275 |
| 94.1875 | 200 | 198.7 | 431.25 | -231.25 |
| 94.625 | 200 | 198.7 | 387.5 | -187.5 |
| 95.0625 | 200 | 198.7 | 343.75 | -143.75 |
| 95.5 | 200 | 198.7 | 300 | -100 |
| 95.9375 | 200 | 198.7 | 256.25 | -56.25 |
| 96.375 | 200 | 198.7 | 212.5 | -12.5 |
| 96.8125 | 200 | 198.7 | 168.75 | 31.25 |
| 97.25 | 200 | 198.7 | 125 | 75 |
| 97.6875 | 200 | 198.7 | 81.25 | 118.75 |
| 98.125 | 200 | 198.7 | 37.5 | 162.5 |
| 98.5625 | 200 | 198.7 | -6.25 | 206.25 |
| 99 | 200 | 198.7 | -50 | 250 |
| 99.4375 | 200 | 198.7 | -93.75 | 293.75 |
| 99.875 | 200 | 198.7 | -137.5 | 337.5 |
| 100 | 200 | 198.7 | -150 | 350 |
| 100.312 | 168.75 | 167.45 | -181.25 | 350 |
| 100.75 | 125 | 123.7 | -225 | 350 |
| 101.188 | 81.25 | 79.95 | -268.75 | 350 |
| 101.625 | 37.5 | 36.2 | -312.5 | 350 |
| 102 | 0 | -1.3 | -350 | 350 |
| 102.062 | -6.25 | -7.55 | -356.25 | 350 |
| 102.5 | -50 | -51.3 | -400 | 350 |
| 102.938 | -93.75 | -95.05 | -443.75 | 350 |
| 103.375 | -137.5 | -138.8 | -487.5 | 350 |
| 103.812 | -181.25 | -182.55 | -531.25 | 350 |
| 104.25 | -225 | -226.3 | -575 | 350 |
| 104.688 | -268.75 | -270.05 | -618.75 | 350 |
| 105 | -300 | -301.3 | -650 | 350 |
| 105.125 | -300 | -301.3 | -650 | 350 |
| 105.562 | -300 | -301.3 | -650 | 350 |
| 106 | -300 | -301.3 | -650 | 350 |
| 106.438 | -300 | -301.3 | -650 | 350 |
| 106.875 | -300 | -301.3 | -650 | 350 |
| 107.312 | -300 | -301.3 | -650 | 350 |
| 107.75 | -300 | -301.3 | -650 | 350 |
| 108.188 | -300 | -301.3 | -650 | 350 |
| 108.625 | -300 | -301.3 | -650 | 350 |
| 109.062 | -300 | -301.3 | -650 | 350 |
| 109.5 | -300 | -301.3 | -650 | 350 |
| 109.938 | -300 | -301.3 | -650 | 350 |
| 110.375 | -300 | -301.3 | -650 | 350 |
| 110.812 | -300 | -301.3 | -650 | 350 |
| 111.25 | -300 | -301.3 | -650 | 350 |
| 111.688 | -300 | -301.3 | -650 | 350 |
| 112.125 | -300 | -301.3 | -650 | 350 |
| 112.562 | -300 | -301.3 | -650 | 350 |
| 113 | -300 | -301.3 | -650 | 350 |
| 113.438 | -300 | -301.3 | -650 | 350 |
| 113.875 | -300 | -301.3 | -650 | 350 |
| 114.312 | -300 | -301.3 | -650 | 350 |
| 114.75 | -300 | -301.3 | -650 | 350 |
| 115.188 | -300 | -301.3 | -650 | 350 |
| 115.625 | -300 | -301.3 | -650 | 350 |
| 116.062 | -300 | -301.3 | -650 | 350 |
| 116.5 | -300 | -301.3 | -650 | 350 |
| 116.938 | -300 | -301.3 | -650 | 350 |
| 117.375 | -300 | -301.3 | -650 | 350 |
| 117.812 | -300 | -301.3 | -650 | 350 |
| 118.25 | -300 | -301.3 | -650 | 350 |
| 118.688 | -300 | -301.3 | -650 | 350 |
| 119.125 | -300 | -301.3 | -650 | 350 |
| 119.562 | -300 | -301.3 | -650 | 350 |
| 120 | -300 | -301.3 | -650 | 350 |
A settle at 104 gives only one point of spread value and loses 200. Buying after a large decline can leave too little additional reward relative to debit.
Try the question before revealing its answer. These are reading checks, not trading certification or a site completion record.
$100.00
Use all signed legs, not just the winning leg. The popup and graph use the same ticket.
No.
It describes the specified common-settlement payoff. Product rules, stock delivery, capital and execution still matter.
Explain the intended moderately bearish exposure, each leg's obligation and the adverse price region before using the strategy name.
External references support definitions and conventions. Worked scenarios and prose are original. No current quotes or dealer inventory are claimed.
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