Single2 legsmixedbullish

Buy a call and sell a put at the same strike. Behaves exactly like owning 100 shares — and is the clearest demonstration of put-call parity there is.

The Strategy Builder does not construct this one — the reference shelf is broader than the picker. You can still build it by hand: add the legs below in the builder's leg table.

Long call plus short put at the same strike and expiry produces the payoff of 100 long shares. There is no kink because the two options' bends cancel exactly at the shared strike.

This is put-call parity made visible. The relationship it demonstrates — that a call, a put, the stock and cash are four expressions of three independent things — is what keeps option prices consistent with each other.

The small net debit is not arbitrary: it approximates the cost of carrying the position to expiry, which is the difference between owning shares now and agreeing to own them later.

Priced off the guide's shared chain, on a $50 stock. Every figure beneath the diagram is computed from these legs by the same engine the Strategy Builder uses.

A single straight diagonal. No caps, no plateaus, no bends.

One break-even, at the strike plus the net debit.

Unbounded above; below, the same exposure as owning the shares.

In practice it is used for capital efficiency — the same exposure as 100 shares for far less cash, since neither leg requires the full share cost.

That efficiency is leverage, and it cuts identically both ways. The exposure is 100 shares' worth regardless of how little was posted.

Its real value here is educational. Understanding that stock-plus-put equals a long call, and call-minus-put equals stock, is what makes every other structure in this chapter decomposable.

Like everything in this guide, these are descriptions of structures and conditions — context for your own decisions, not instructions to trade.