What's this strategy called?

Discussion in 'Options' started by frank99, Jul 11, 2006.

  1. frank99

    frank99

    I'm curious what this strategy is called that I'm about to execute.

    Stock XYZ is trading at 71.00

    I'm going to sell at July call at 72 and
    buy a July call at 74

    What is this called? Will my total
    risk be $200?

    Thanks,

    Frank
     
  2. skyasa

    skyasa

    Bear Call Spread.

    BreakEven: 72+ Credit received

    Risk: 200 - Credit Received
     
  3. frank99

    frank99

    Thanks.