Options Calculator

A Java-based command-line application for calculating profit and loss (P&L) for options trading positions including calls, puts, and stock shares.

Features

• Buy/Sell Call Options: Track long and short call positions
• Buy/Sell Put Options: Track long and short put positions
• Buy Stock Shares: Track stock positions
• P&L Analysis: Calculate profit/loss across a range of stock prices
• Interactive CLI: Simple command-line interface for managing positions

Project Structure

options calculator/
├── Main.java          # Entry point - creates Options instance
├── Options.java       # Main class with interactive CLI
├── Holding.java       # Interface for all position types
├── Call.java          # Call option implementation
├── Put.java           # Put option implementation
├── BuyShare.java      # Stock share implementation
└── README.md          # This file

How It Works

Core Classes

• Holding: Interface that defines the contract for all position types (calls, puts, shares)
• Call: Represents a call option with strike price, premium, and buy/sell flag
• Put: Represents a put option with strike price, premium, and buy/sell flag
• BuyShare: Represents a stock position with buy price and quantity
• Options: Main class that manages the portfolio and provides the interactive interface

P&L Calculation

• Call Options (Buy):

  • If stock price > strike: (stockPrice - strikePrice) * 100 - premium
  • Otherwise: -premium

• Call Options (Sell):

  • If stock price > strike: -((stockPrice - strikePrice) * 100 - premium)
  • Otherwise: premium

• Put Options (Buy):

  • If stock price < strike: (strikePrice - stockPrice) * 100 - premium
  • Otherwise: -premium

• Put Options (Sell):

  • If stock price < strike: -((strikePrice - stockPrice) * 100 - premium)
  • Otherwise: premium

• Stock Shares: (endPrice - buyPrice) * quantity

Compilation and Running

Prerequisites

• Java JDK 8 or higher

Compile

javac *.java

Run

java Main

Usage

When you run the program, you'll be prompted with a menu. Enter one of the following commands:

Commands

• BC - Buy Call

  • Enter strike price
  • Enter premium

• SC - Sell Call

  • Enter strike price
  • Enter premium

• BP - Buy Put

  • Enter strike price
  • Enter premium

• SP - Sell Put

  • Enter strike price
  • Enter premium

• BS - Buy Share

  • Enter buy price
  • Enter quantity

• end - Calculate P&L for price range

  • Enter end price range start
  • Enter end price range end
  • The program will calculate P&L for prices from start to end in $0.25 increments
  • Displays a table of price vs. P&L for all positions combined

Example Session

Enter BC to buy call, SC to sell call, BS to buy share, etc 
BC
Enter strike price: 
100
Enter premium: 
5
Enter BC to buy call, SC to sell call, BS to buy share, etc 
BS
Enter buy price: 
95
Enter quantity: 
10
Enter BC to buy call, SC to sell call, BS to buy share, etc 
end
Enter end price range start: 
90
Enter end price range end: 
110
Price: 90.0 P&L: -550.0
Price: 90.25 P&L: -525.0
...
Price: 110.0 P&L: 450.0

Design Patterns

• Interface Pattern: The Holding interface allows all position types (Call, Put, BuyShare) to be stored in a single ArrayList<Holding>, enabling polymorphic behavior.

Notes

• All options contracts represent 100 shares (standard contract size)
• Premiums are entered as total premium paid/received (not per share)
• The price range analysis increments by $0.25 by default
• The program runs until you enter the end command

License

This project is provided as-is for educational and personal use.