COM Bull Call Spread Strategy
COM (Direxion Auspice Broad Commodity Strategy ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.
The Direxion Auspice Broad Commodity Strategy ETF seeks investment results, before fees and expenses, that track the Auspice Broad Commodity Index. There is no guarantee the fund will achieve its stated investment objective.
COM (Direxion Auspice Broad Commodity Strategy ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $191.7M, a beta of 0.42 versus the broader market, a 52-week range of 27.462-35.62, average daily share volume of 185K, a public-listing history dating back to 2017. These structural characteristics shape how COM etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.42 indicates COM has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. COM pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a bull call spread on COM?
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 COM snapshot
As of May 15, 2026, spot at $34.39, ATM IV 7.90%, IV rank 2.36%, expected move 2.26%. The bull call spread on COM 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 COM specifically: COM IV at 7.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a COM bull call spread, with a market-implied 1-standard-deviation move of approximately 2.26% (roughly $0.78 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 COM expiries trade a higher absolute premium for lower per-day decay. Position sizing on COM should anchor to the underlying notional of $34.39 per share and to the trader's directional view on COM etf.
COM bull call spread setup
The COM 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 COM near $34.39, the first option leg uses a $34.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed COM 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 COM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $34.00 | $0.78 |
| Sell 1 | Call | $36.00 | $0.07 |
COM bull call spread risk and reward
- Net Premium / Debit
- -$71.00
- Max Profit (per contract)
- $129.00
- Max Loss (per contract)
- -$71.00
- Breakeven(s)
- $34.71
- Risk / Reward Ratio
- 1.817
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.
COM bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on COM. 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 | -100.0% | -$71.00 |
| $7.61 | -77.9% | -$71.00 |
| $15.22 | -55.8% | -$71.00 |
| $22.82 | -33.6% | -$71.00 |
| $30.42 | -11.5% | -$71.00 |
| $38.02 | +10.6% | +$129.00 |
| $45.63 | +32.7% | +$129.00 |
| $53.23 | +54.8% | +$129.00 |
| $60.83 | +76.9% | +$129.00 |
| $68.43 | +99.0% | +$129.00 |
When traders use bull call spread on COM
Bull call spreads on COM reduce the cost of a bullish COM etf position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
COM thesis for this bull call spread
The market-implied 1-standard-deviation range for COM extends from approximately $33.61 on the downside to $35.17 on the upside. A COM bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on COM, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current COM IV rank near 2.36% 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 COM at 7.90%. As a Financial Services name, COM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to COM-specific events.
COM 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. COM positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move COM alongside the broader basket even when COM-specific fundamentals are unchanged. Long-premium structures like a bull call spread on COM 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 COM chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on COM?
- A bull call spread on COM is the bull call spread strategy applied to COM (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 COM etf trading near $34.39, the strikes shown on this page are snapped to the nearest listed COM chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are COM 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 COM bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 7.90%), the computed maximum profit is $129.00 per contract and the computed maximum loss is -$71.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a COM bull call spread?
- The breakeven for the COM bull call spread priced on this page is roughly $34.71 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 COM market-implied 1-standard-deviation expected move is approximately 2.26%; 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 COM?
- Bull call spreads on COM reduce the cost of a bullish COM 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 COM implied volatility affect this bull call spread?
- COM ATM IV is at 7.90% with IV rank near 2.36%, 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.