You sold one TSLA call at the lower strike and bought one at the higher strike, taking in a net credit. The scale never moves, so you can watch the shape. Grab the blue dot: left and right changes the stock price, up and down changes implied volatility. Drag either strike line too (K1 short, K2 long). Lock any variable to hold it still and isolate one effect.
Profit / loss per share
Value today (drag the dot) At expiration Max profit (the credit) Max loss (capped)
Credit taken in
$0
per share, at entry
Profit / loss
$0
per share
Max profit
$0
keep the credit
Max loss
$0
width minus credit
Breakeven
$0
stock at expiration
Value now
$0
to close, per share
Plain English
Three things to know about a call credit spread:
You are betting it stays below a level. In practice you collect a credit and keep it as long as the stock finishes below your short strike.
Both ends are known before you enter. Your best case is the credit and your worst case is the strike width minus the credit. No surprises in either direction.
Buying the far strike is what caps the risk. That long call is what makes this defined-risk instead of a naked short. Generally speaking, only put on what you can comfortably lose.
Taxes are not shown here. Options and the underlying stock are taxed differently, and it depends on your holding period and account type. None of this is tax advice.