options-payoff-diagram

What problem does it solve?

It helps you understand how an options strategy earns or loses money across different underlying prices, including multi-leg portfolios and volatility scenarios, so you can avoid blind decision-making.

Core Features & Use Cases

• Payoff diagram generation: Compute expiry P&L for single-leg and multi-leg option structures using strikes, directions, quantities, and premiums.
• Black-Scholes pricing & Greeks: Price European calls/puts and derive delta, gamma, theta, vega, and rho to support scenario reasoning.
• Breakeven, max profit/loss, and volatility scenarios: Numerically find break-even points, summarize max outcomes, and compare theoretical curves across implied-volatility levels.
• Use Case: Model an iron condor (put spread + call spread) to visualize where the strategy profits, where it loses, and how sensitive it is to changes in IV before conducting research/backtesting.

Quick Start

Use the options-payoff-diagram skill to generate an interactive payoff diagram for an iron condor using your option legs, spot price, and a set of IV scenarios.