BDRY Bull Call Spread Strategy
BDRY (Breakwave Dry Bulk Shipping ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The Breakwave Dry Bulk Shipping ETF (BDRY) is an exchange-traded fund (ETF) designed to reflect the daily price movements of the near-dated dry bulk freight futures. BDRY offers investors unlevered exposure to dry bulk freight without the need for a futures account.
BDRY (Breakwave Dry Bulk Shipping ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $48.9M, a beta of 2.61 versus the broader market, a 52-week range of 5.03-13.34, average daily share volume of 172K, a public-listing history dating back to 2018. These structural characteristics shape how BDRY etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.61 indicates BDRY has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a bull call spread on BDRY?
A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width.
Current BDRY snapshot
As of May 15, 2026, spot at $13.13, ATM IV 60.70%, IV rank 8.82%, expected move 17.40%. The bull call spread on BDRY below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 34-day expiry.
Why this bull call spread structure on BDRY specifically: BDRY IV at 60.70% is on the cheap side of its 1-year range, which favors premium-buying structures like a BDRY bull call spread, with a market-implied 1-standard-deviation move of approximately 17.40% (roughly $2.28 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BDRY expiries trade a higher absolute premium for lower per-day decay. Position sizing on BDRY should anchor to the underlying notional of $13.13 per share and to the trader's directional view on BDRY etf.
BDRY bull call spread setup
The BDRY bull call spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With BDRY near $13.13, the first option leg uses a $13.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BDRY chain at a 34-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 BDRY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $13.00 | $0.98 |
| Sell 1 | Call | $14.00 | $0.58 |
BDRY bull call spread risk and reward
- Net Premium / Debit
- -$40.00
- Max Profit (per contract)
- $60.00
- Max Loss (per contract)
- -$40.00
- Breakeven(s)
- $13.40
- Risk / Reward Ratio
- 1.500
Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit.
BDRY bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on BDRY. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -99.9% | -$40.00 |
| $2.91 | -77.8% | -$40.00 |
| $5.81 | -55.7% | -$40.00 |
| $8.72 | -33.6% | -$40.00 |
| $11.62 | -11.5% | -$40.00 |
| $14.52 | +10.6% | +$60.00 |
| $17.42 | +32.7% | +$60.00 |
| $20.32 | +54.8% | +$60.00 |
| $23.23 | +76.9% | +$60.00 |
| $26.13 | +99.0% | +$60.00 |
When traders use bull call spread on BDRY
Bull call spreads on BDRY reduce the cost of a bullish BDRY etf position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
BDRY thesis for this bull call spread
The market-implied 1-standard-deviation range for BDRY extends from approximately $10.85 on the downside to $15.41 on the upside. A BDRY bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on BDRY, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current BDRY IV rank near 8.82% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on BDRY at 60.70%. As a Financial Services name, BDRY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BDRY-specific events.
BDRY bull call spread positions are structurally moderately bullish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. BDRY positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BDRY alongside the broader basket even when BDRY-specific fundamentals are unchanged. Long-premium structures like a bull call spread on BDRY are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current BDRY chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on BDRY?
- A bull call spread on BDRY is the bull call spread strategy applied to BDRY (etf). The strategy is structurally moderately bullish: A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width. With BDRY etf trading near $13.13, the strikes shown on this page are snapped to the nearest listed BDRY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are BDRY bull call spread max profit and max loss calculated?
- Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit. For the BDRY bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 60.70%), the computed maximum profit is $60.00 per contract and the computed maximum loss is -$40.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a BDRY bull call spread?
- The breakeven for the BDRY bull call spread priced on this page is roughly $13.40 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current BDRY market-implied 1-standard-deviation expected move is approximately 17.40%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bull call spread on BDRY?
- Bull call spreads on BDRY reduce the cost of a bullish BDRY etf position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
- How does current BDRY implied volatility affect this bull call spread?
- BDRY ATM IV is at 60.70% with IV rank near 8.82%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.