# Long Put Calendar

> What is your plan if the near-term short leg gets exercised early?

| Property | Value |
| --- | --- |
| Market phase | Range-bound, no trend, price oscillating between levels, After a volatility spike, with a return to normal expected |
| Driver | Vega - you get paid on a change in implied volatility, Theta - you get paid because time passes and premium decays, Path-dependent - the outcome depends on WHEN price is where, not just where it ends up |
| Direction | neutral near term, bearish longer term |
| Max profit | by simulation only |
| Max loss | approximately the debit |
| Risk defined | Yes |
| Legs | -1 Put @K (near expiration); +1 Put @K (far expiration) |
| Approval level | 3 (Defined-risk spreads) |
| Experience | Advanced |

## Formulas

```text
Break-even: simulation only
Max profit: by simulation only
Max loss: approximately the debit
```

## Legs

1. -1 Put @K (near expiration)
2. +1 Put @K (far expiration)

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