URE Bull Call Spread Strategy
URE (ProShares - Ultra Real Estate), in the Financial Services sector, (Asset Management industry), listed on AMEX.
ProShares Ultra Real Estate seeks daily investment results, before fees and expenses, that correspond to two times (2x) the daily performance of the S&P Real Estate Select SectorSM Index.
URE (ProShares - Ultra Real Estate) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $56.4M, a beta of 1.92 versus the broader market, a 52-week range of 57.38-71.45, average daily share volume of 4K, a public-listing history dating back to 2007. These structural characteristics shape how URE etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.92 indicates URE has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. URE 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 URE?
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 URE snapshot
As of May 15, 2026, spot at $66.25, ATM IV 36.80%, IV rank 42.98%, expected move 10.55%. The bull call spread on URE 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 URE specifically: URE IV at 36.80% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 10.55% (roughly $6.99 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 URE expiries trade a higher absolute premium for lower per-day decay. Position sizing on URE should anchor to the underlying notional of $66.25 per share and to the trader's directional view on URE etf.
URE bull call spread setup
The URE 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 URE near $66.25, the first option leg uses a $66.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed URE 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 URE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $66.00 | $3.43 |
| Sell 1 | Call | $70.00 | $1.73 |
URE bull call spread risk and reward
- Net Premium / Debit
- -$170.00
- Max Profit (per contract)
- $230.00
- Max Loss (per contract)
- -$170.00
- Breakeven(s)
- $67.70
- Risk / Reward Ratio
- 1.353
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.
URE bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on URE. 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% | -$170.00 |
| $14.66 | -77.9% | -$170.00 |
| $29.30 | -55.8% | -$170.00 |
| $43.95 | -33.7% | -$170.00 |
| $58.60 | -11.5% | -$170.00 |
| $73.25 | +10.6% | +$230.00 |
| $87.89 | +32.7% | +$230.00 |
| $102.54 | +54.8% | +$230.00 |
| $117.19 | +76.9% | +$230.00 |
| $131.83 | +99.0% | +$230.00 |
When traders use bull call spread on URE
Bull call spreads on URE reduce the cost of a bullish URE etf position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
URE thesis for this bull call spread
The market-implied 1-standard-deviation range for URE extends from approximately $59.26 on the downside to $73.24 on the upside. A URE bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on URE, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current URE IV rank near 42.98% is mid-range against its 1-year distribution, so the IV signal is neutral; the bull call spread thesis on URE should anchor more to the directional view and the expected-move geometry. As a Financial Services name, URE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to URE-specific events.
URE 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. URE positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move URE alongside the broader basket even when URE-specific fundamentals are unchanged. Long-premium structures like a bull call spread on URE 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 URE chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on URE?
- A bull call spread on URE is the bull call spread strategy applied to URE (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 URE etf trading near $66.25, the strikes shown on this page are snapped to the nearest listed URE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are URE 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 URE bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 36.80%), the computed maximum profit is $230.00 per contract and the computed maximum loss is -$170.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a URE bull call spread?
- The breakeven for the URE bull call spread priced on this page is roughly $67.70 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 URE market-implied 1-standard-deviation expected move is approximately 10.55%; 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 URE?
- Bull call spreads on URE reduce the cost of a bullish URE 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 URE implied volatility affect this bull call spread?
- URE ATM IV is at 36.80% with IV rank near 42.98%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.