3 Reasons Why this SPY Debit Call Spread is a Good Opportunity for $1.30

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This SPY Debit Call Spread Can Net 54% in 2 Days

Bullish play with a target stock price of $534 or above

Strategy has +54% upside potential and 13% undervalued

Buy532 Call
Sell534 Call

SPDR S&P 500 ETF Trust share price has not moved much today, and currently sits at $535.89. Based on moving averages, SPY has been in a uptrend since May 20, so this spread would be a great way to leverage a bullish outlook. Based on historical stock price behavior, this spread for SPY has a theoretical 72% success rate.

Option Profit Calculator for SPY Call Spread at 13-Jun-24 Expiration

If SPY stock price at expiration is at or above $534.00, this spread has a 54% upside potential

The optimal stock price for this option strategy is to close at or above $534.00 on the expiration date, June 13, 2024. In that scenario, both calls would be in-the-money, so the spread would be worth the maximum value of 2.00. That would equate to the potential upside of +54% for this call spread with 2 days left to expiration.

The maximum gain will be realized if the stock price is at or above 534.00. The maximum gain is $0.70

The breakeven point is at 533.30, which is 0.4% below the current spot price.

The maximum loss will occur when the stock price is at or below 532. The max loss is $1.30.

SPY Spread Current Market Price vs. Historical Average

SPY Call Spread is trading at a 13% discount to historical average.

Using historical data to measure how a similar spread in SPY was priced in the market, the 4-year average value was 1.49, with a high mark of 1.74 and a low of 1.21.

Currently, this vertical call spread is bid at 1.26 and offered at 1.30. The midpoint of the spread is 1.28.

If we use 1.49 as our historical fair value benchmark, the current market ask price is at a 13% discount, while the current market midpoint represents a 14% discount.

Current PriceHistorical Values of Similar Spreads
Market Chameleon captures daily records of market data to calculate historical benchmarks and generate estimated values.


The SPY call spread we've identified here can be a good way to play a bullish outlook because the option strategy has a +54% upside potential, is 13% underpriced relative to historical measures, and will benefit from a stock price at or above $534.

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