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Bull Call Spread (Debit)
directional Capped lossAdvanced: a defined-risk bullish bet for less than buying the stock.
When to use it
Buy a call, sell a higher call. Profits if the stock rises to the short strike; cost and max loss are the net debit. Best in a confirmed uptrend.
Max profit
Strike width minus the debit paid.
Max loss
The net debit paid.
Payoff at expiry
illustrative shape — not to scale
■ profit zone
■ loss zone
X axis = stock price at expiry →
How it's built
Strikes shown low→high. Sell = collect premium · Buy = pay premium for protection or upside.
Hermes-evaluated setups
High-conviction per-ticker applications — setups with a confidence-adjusted win rate ≥ 80% over ≥20 backtested trades (95% lower bound — honest for the sample size, never a raw 100%). Avg P/L is the mean profit/loss per one-contract position.
| Ticker | Win Rate | Avg P/L / contract | Sharpe | Trades | DTE |
|---|---|---|---|---|---|
| GEV | 82% | +$110.00 | 3.3 | 44 | 9 |
Backtested results are not a guarantee of future performance.