Max profit and max loss

On a graph the toolbar’s Max P and Max L read the P&L at expiration.

• One expiration: exact. Tented reads the payoff at zero and at every strike, and checks the slope above the highest one. A side with no limit reads “Unlimited”: a net long call position (stock counts as calls) has unlimited profit, a net short one unlimited loss.
• Several expirations (calendars, diagonals, a BWB plus a calendar): the same “Unlimited” test applies, but a bounded figure is the highest or lowest P&L found inside the chart’s price range, not an exact bound. The tooltip says “Highest P&L inside the chart’s price range” or “Lowest P&L …”.

Note

Max P and Max L across expirations are not exact. A calendar’s Max L looks smaller than a worst case in an extreme move; treat it as the debit-scale risk, the worst P&L in the chart’s range and not a guaranteed floor.

Estimated marks show as “≈” before the figure; see Estimated marks. The builder’s Margin column uses the same rule; see Margin.

If Max L reads “Unlimited” on a spread, or a calendar’s Max L looks too small, see Max L reads Unlimited on my spread and A calendar’s Max L looks too small.