# Bull Put Spread

> Do you want a credit against an obligation - or would you rather pay a debit?

| Property | Value |
| --- | --- |
| Market phase | Range-bound, no trend, price oscillating between levels, Basing out, or a quiet upward drift |
| Driver | Theta - you get paid because time passes and premium decays, Delta - you get paid because price moves your way, Vega - you get paid on a change in implied volatility |
| Direction | bullish / neutral |
| Max profit | the credit received |
| Max loss | the spread width minus the credit received |
| Risk defined | Yes |
| Legs | -1 Put @K_high; +1 Put @K_low |
| Approval level | 3 (Defined-risk spreads) |
| Experience | Intermediate |

## Formulas

```text
Break-even: K_high - C
Max profit: C
Max loss: W - C
```

## Legs

1. -1 Put @K_high
2. +1 Put @K_low

[Read this strategy on the web](https://www.mindtrajour.com/en/academy/strategies/bull-put-spread)