ASM Bull Call Spread Strategy
ASM (Avino Silver & Gold Mines Ltd.), in the Basic Materials sector, (Other Precious Metals industry), listed on AMEX.
Headquartered in Vancouver, Canada, Avino Silver & Gold Mines Ltd. (ASM), along with its subsidiaries, is dedicated to the acquisition, exploration, and development of mineral properties, primarily targeting silver, gold, and copper deposits. The company maintains an extensive portfolio of mineral rights across Mexico and Canada. Within Mexico, specifically in the state of Durango, Avino holds interests in 42 mineral claims and four leased mineral claims. This includes the Avino mine area, comprising four exploration concessions (154.4 hectares), twenty-four exploitation concessions (1,284.7 hectares), and one leased exploitation concession (98.83 hectares). Additionally, its Mexican holdings encompass the Gomez Palacio property (nine exploration concessions totaling 2,549 hectares), the Santiago Papasquiaro property (four exploration concessions covering 2,552.6 hectares and one exploitation concession of 602.9 hectares), and the Unification La Platosa properties (three leased concessions). In Canada, Avino possesses full ownership of the Minto and Olympic-Kelvin properties in British Columbia, as well as fourteen quartz leases at the Eagle property located within the Mayo Mining Division of Yukon.
ASM (Avino Silver & Gold Mines Ltd.) trades in the Basic Materials sector, specifically Other Precious Metals, with a market capitalization of approximately $1.19B, a trailing P/E of 26.57, a beta of 2.93 versus the broader market, a 52-week range of 3.66-11.99, average daily share volume of 4.1M, a public-listing history dating back to 2005, approximately 350 full-time employees. These structural characteristics shape how ASM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.93 indicates ASM 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 ASM?
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.
ASM snapshot
As of August 14, 2026, spot at $7.05, ATM IV 85.70%, expected move 24.57%. The bull call spread on ASM below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this bull call spread structure on ASM specifically: IV rank is unavailable in the current snapshot, so regime-based timing for ASM is inferred from ATM IV at 85.70% alone, with a market-implied 1-standard-deviation move of approximately 24.57% (roughly $1.73 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ASM expiries trade a higher absolute premium for lower per-day decay. Position sizing on ASM should anchor to the underlying notional of $7.05 per share and to the trader's directional view on ASM stock.
ASM bull call spread setup
The ASM 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 ASM at $7.05 on that close, the first option leg uses a $7.05 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ASM chain at a 35-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 ASM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $7.05 | N/A |
| Sell 1 | Call | $7.40 | N/A |
ASM bull call spread risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
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.
ASM bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on ASM. 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.
When traders use bull call spread on ASM
Bull call spreads on ASM reduce the cost of a bullish ASM stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
ASM thesis for this bull call spread
The market-implied 1-standard-deviation range for ASM extends from approximately $5.32 on the downside to $8.78 on the upside. A ASM bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on ASM, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. As a Basic Materials name, ASM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ASM-specific events.
ASM 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. ASM positions also carry Basic Materials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ASM alongside the broader basket even when ASM-specific fundamentals are unchanged. Long-premium structures like a bull call spread on ASM 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 ASM chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on ASM?
- A bull call spread on ASM is the bull call spread strategy applied to ASM (stock). 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 ASM stock at $7.05 on the most recent close, the strikes shown on this page are snapped to the nearest listed ASM chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ASM 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 ASM bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 85.70%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ASM bull call spread?
- The breakeven for the ASM bull call spread priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The ASM market-implied 1-standard-deviation expected move in the same options snapshot is approximately 24.57%; 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 ASM?
- Bull call spreads on ASM reduce the cost of a bullish ASM stock 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 ASM implied volatility affect this bull call spread?
- Current ASM ATM IV is 85.70%; IV rank context is unavailable in the current snapshot.