Legs
Marks "you are here" on the chart.
Up to 4 legs · 1 contract = 100 shares · for stock legs, "premium" is the price paid per share.
Payoff at Expiration
Custom strategy
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P/L at expiration only — before expiry, time value and volatility shift the curve
Green shading is profit at that expiration price, red is loss. The dots mark breakevens; the dashed vertical line is the current price.
The dashed curve is the estimated P/L before expiry (Black–Scholes, one IV for all legs, 4% rate) — drag the slider toward zero and watch time value melt into the hard corners. Slide to 0 and it becomes the payoff itself.
Show the math
How To Read It
Why the curve has corners
At expiration an option is worth exactly its intrinsic value — a call is worth max(S − K, 0), a put max(K − S, 0) — so each leg's payoff is a straight line with a single kink at its strike. Stack the legs and you get a piecewise-straight curve whose corners sit at the strikes. Everything about a strategy — capped upside, unlimited downside, profit zones — is visible in where those segments point.
This is the expiration picture, not today's
Before expiry, options also carry time value, so the live P/L curve is a smooth version of this diagram that decays toward it day by day. A position can be down today and still end profitable at expiry — and vice versa. This tool deliberately shows the destination, not the journey: it's the honest baseline every strategy should be judged against.
Debit, credit, and breakevens
The net premium is what you pay (debit) or collect (credit) to open the position. Breakevens are where the payoff crosses zero: below a breakeven on a short put you start eating into the premium; past both breakevens of a straddle the move has paid for the options. Where the table says unlimited, take it literally — that side of the position has no cap.