<h2>Bear Call Spread</h2>
<p>A <strong>bear call spread</strong> is a strategy used in forex and CFD trading to profit from a decrease in the price of an asset. It is a type of spread trade that involves selling a call option at a higher strike price and buying a call option at a lower strike price, both with the same expiration date.</p>

<h2>How It Works</h2>
<p>The bear call spread is established by:</p>
<ul>
  <li>Selling a call option at a higher strike price (short call).</li>
  <li>Buying a call option at a lower strike price (long call).</li>
</ul>
<p>Both options have the same expiration date. The net premium received from selling the higher strike call option is the maximum profit potential for the trade. The maximum loss occurs if the underlying asset's price is at or below the lower strike price at expiration.</p>

<h2>Why It Matters for Traders</h2>
<p>The bear call spread is a useful strategy for traders who:</p>
<ul>
  <li>Expect a decline in the price of an asset but want to limit their risk.</li>
  <li>Want to generate income while waiting for a potential price decline.</li>
  <li>Are comfortable with options trading and understand the risks involved.</li>
</ul>
<p>On the <strong>MetaTrader 5</strong> platform, traders can easily set up and manage bear call spreads using the built-in options trading functionality.</p>

<h2>Example</h2>
<p>Let's say a trader expects the EUR/USD pair to decrease in value. They sell an EUR/USD call option with a strike price of 1.2000 (short call) and receive a premium of $50. They then buy an EUR/USD call option with a strike price of 1.1900 (long call) and pay a premium of $30. The net premium received is $20.</p>
<p>If the EUR/USD pair is trading at 1.1850 at expiration, the short call option would be worth $100, and the long call option would be worth $150. The trader's profit would be $80 (net premium received - loss on short call + gain on long call).</p>

<h2>Key Takeaways</h2>
<ul>
  <li>The bear call spread is a strategy used to profit from a decrease in the price of an asset.</li>
  <li>It involves selling a call option at a higher strike price and buying a call option at a lower strike price, both with the same expiration date.</li>
  <li>The maximum profit is the net premium received, and the maximum loss occurs if the underlying asset's price is at or below the lower strike price at expiration.</li>
  <li>The bear call spread can be set up and managed on the MetaTrader 5 platform.</li>
</ul>