Synthetic Long Discount Alert: HUYA INC $HUYA trading at a 10.45% discount for the 18-Apr-2019 expiration

The automated Quantcha Trade Ideas Service has detected a promising Synthetic Long Stock trade opportunity for HUYA INC (HUYA) for the 18-Apr-2019 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

HUYA was recently trading at $27.14 and has an implied volatility of 37.76% for this period. Based on an analysis of the options available for HUYA expiring on 18-Apr-2019, there is a 68.27% likelihood that the underlying will close within the analyzed range of $16.91-$45.35 at expiration. In this scenario, the average linear return for the trade would be 48.72%.

Upside potential: This synthetic long position offers the same potential benefits and liabilities as a long stock position, but at a discount due to the significant premium at-the-money puts are trading at over calls. In this case, the put position is opened at a strike of $27.50, which is already $0.36 in-the-money. However, its sale more than offsets this moneyness and the cost of the long call that the trade results in a net credit of of $3.20 per share. The final position can be considered as having a discount of $2.84 per share over the underlying price of $27.14 for a 10.46% total.

Downside risk: This discount is generally a sign of the stock facing considerable short pressure, and may indicate that the stock has become hard to borrow. However, if you have a long view of the underlying over this period, it could be a good opportunity to benefit from the upside at a major discount.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 11:24:33 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Big Gainer Alert: Trading today’s 7.1% move in GEOPARK LIMITED $GPRK

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for GEOPARK LIMITED (GPRK) for the 19-Oct-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

GPRK was recently trading at $17.56 and has an implied volatility of 47.39% for this period. Based on an analysis of the options available for GPRK expiring on 19-Oct-2018, there is a 34.13% likelihood that the underlying will close within the analyzed range of $17.68-$21.47 at expiration. In this scenario, the average linear return for the trade would be 31.74%.

Big 7.07% Change: After closing the last trading session at $16.40, GEOPARK LIMITED opened today at $16.35 and has reached a high of $17.65.

Trade approach: A movement as big as 7.07% is a significantly bullish indicator, so this trade is designed to be profitable if GPRK maintains its current direction and does not revert back to pricing on the bearish side of $17.56 on 19-Oct-2018. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bullish strategy, the trade would be profitable if GEOPARK LIMITED closes at or above $17.55 on 19-Oct-2018. Based on our risk-neutral analysis, there is a 51.48% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:54:44 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Big Loser Alert: Trading today’s -7.1% move in NEW ORIENTAL $EDU

The automated Quantcha Trade Ideas Service has detected a promising Bear Call Spread trade opportunity for NEW ORIENTAL (EDU) for the 19-Oct-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

EDU was recently trading at $79.94 and has an implied volatility of 37.93% for this period. Based on an analysis of the options available for EDU expiring on 19-Oct-2018, there is a 34.13% likelihood that the underlying will close within the analyzed range of $69.32-$80.61 at expiration. In this scenario, the average linear return for the trade would be 50.86%.

Big -7.11% Change: After closing the last trading session at $86.06, NEW ORIENTAL opened today at $85.76 and has reached a low of $79.20.

Trade approach: A movement as big as -7.11% is a significantly bearish indicator, so this trade is designed to be profitable if EDU maintains its current direction and does not revert back to pricing on the bullish side of $79.94 on 19-Oct-2018. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bearish strategy, the trade would be profitable if NEW ORIENTAL closes at or below $81.70 on 19-Oct-2018. Based on our risk-neutral analysis, there is a 53.55% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:54:23 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Covered Call Alert: NEKTAR THERAPEUTICS $NKTR returning up to 23.60% through 18-Jan-2019

The automated Quantcha Trade Ideas Service has detected a promising Covered Call trade opportunity for NEKTAR THERAPEUTICS (NKTR) for the 18-Jan-2019 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

NKTR was recently trading at $61.84 and has an implied volatility of 67.71% for this period. Based on an analysis of the options available for NKTR expiring on 18-Jan-2019, there is a 68.27% likelihood that the underlying will close within the analyzed range of $39.82-$98.89 at expiration. In this scenario, the average linear return for the trade would be 10.53%.

Moneyness: These options are currently 5.13% out of the money and there is a 46.91% likelihood that these options will be exercised before or at expiration.

Most upside: If NEKTAR THERAPEUTICS closes at or above $65.00, this trade could return up to 23.60%. Based on our analysis, there is a 46.92% likelihood of this return.

The downside: As with any covered call, the risk is substantial as it is vulnerable to a downturn in the underlying itself. There is a 34.88% chance the underlying will close at or below its breakeven price of $52.59, resulting in a net loss on the trade.

To find the best covered calls on the market, be sure to check out Quantcha’s covered call screener.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:50 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

StockTwits Trending Alert: Trading recent interest in BEST BUY $BBY

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for BEST BUY (BBY) for the 31-Aug-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

BBY was recently trading at $80.62 and has an implied volatility of 59.90% for this period. Based on an analysis of the options available for BBY expiring on 31-Aug-2018, there is a 35.53% likelihood that the underlying will close within the analyzed range of $80.63-$89.39 at expiration. In this scenario, the average linear return for the trade would be 65.77%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, BEST BUY was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in BBY on StockTwits appears to be moderately positive, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bullish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bullish strategy, the trade would be profitable if BEST BUY closed at or above $80.58 on 31-Aug-2018. Based on our analysis, there is a 51.62% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:48 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week High Alert: Trading today’s movement in UNION PACIFIC $UNP

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for UNION PACIFIC (UNP) for the 19-Oct-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

UNP was recently trading at $151.81 and has an implied volatility of 15.03% for this period. Based on an analysis of the options available for UNP expiring on 19-Oct-2018, there is a 34.14% likelihood that the underlying will close within the analyzed range of $152.24-$162.75 at expiration. In this scenario, the average linear return for the trade would be 58.54%.

52 week high: UNION PACIFIC recently reached a new 52-week high at $151.97. UNP had traded in the range $103.37-$151.50 over the past year.

Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if UNP maintains its current direction and does not revert back to pricing on the bearish side of $151.81 on 19-Oct-2018. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bullish strategy, the trade would be profitable if UNION PACIFIC closes at or above $151.04 on 19-Oct-2018. Based on our risk-neutral analysis, there is a 54.72% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:40 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Synthetic Long Discount Alert: RIOT BLOCKCHAIN INC. COMMON STOCK $RIOT trading at a 10.29% discount for the 17-Jan-2020 expiration

The automated Quantcha Trade Ideas Service has detected a promising Synthetic Long Stock trade opportunity for RIOT BLOCKCHAIN INC. COMMON STOCK (RIOT) for the 17-Jan-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

RIOT was recently trading at $5.33 and has an implied volatility of 48.54% for this period. Based on an analysis of the options available for RIOT expiring on 17-Jan-2020, there is a 68.27% likelihood that the underlying will close within the analyzed range of $1.98-$15.10 at expiration. In this scenario, the average linear return for the trade would be 61.17%.

Upside potential: This synthetic long position offers the same potential benefits and liabilities as a long stock position, but at a discount due to the significant premium at-the-money puts are trading at over calls. In this case, the long call position is opened at a strike of $5.00, which is already $0.33 in the money. An out-of-the-money put at the same strike is sold to finance the call, resulting in a net credit of $0.25 per share. The final position can be considered as having a discount of $0.58 per share over the underlying price of $5.33 for a 10.88% total.

Downside risk: This discount is generally a sign of the stock facing considerable short pressure, and may indicate that the stock has become hard to borrow. However, if you have a long view of the underlying over this period, it could be a good opportunity to benefit from the upside at a major discount.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:38 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Covered Call Alert: PAGSEGURO DIGITAL $PAGS returning up to 30.21% through 15-Feb-2019

The automated Quantcha Trade Ideas Service has detected a promising Covered Call trade opportunity for PAGSEGURO DIGITAL (PAGS) for the 15-Feb-2019 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

PAGS was recently trading at $25.99 and has an implied volatility of 67.51% for this period. Based on an analysis of the options available for PAGS expiring on 15-Feb-2019, there is a 68.27% likelihood that the underlying will close within the analyzed range of $16.67-$41.76 at expiration. In this scenario, the average linear return for the trade would be 10.66%.

Moneyness: These options are currently 15.56% out of the money and there is a 38.72% likelihood that these options will be exercised before or at expiration.

Most upside: If PAGSEGURO DIGITAL closes at or above $30.00, this trade could return up to 30.21%. Based on our analysis, there is a 38.98% likelihood of this return.

The downside: As with any covered call, the risk is substantial as it is vulnerable to a downturn in the underlying itself. There is a 38.40% chance the underlying will close at or below its breakeven price of $23.04, resulting in a net loss on the trade.

To find the best covered calls on the market, be sure to check out Quantcha’s covered call screener.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:36 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

StockTwits Trending Alert: Trading recent interest in TD AMERITRADE HOLDING $AMTD

The automated Quantcha Trade Ideas Service has detected a promising Bear Put Spread trade opportunity for TD AMERITRADE HOLDING (AMTD) for the 31-Aug-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

AMTD was recently trading at $56.80 and has an implied volatility of 29.33% for this period. Based on an analysis of the options available for AMTD expiring on 31-Aug-2018, there is a 31.46% likelihood that the underlying will close within the analyzed range of $54.10-$56.79 at expiration. In this scenario, the average linear return for the trade would be 59.94%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, TD AMERITRADE HOLDING was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in AMTD on StockTwits appears to be significantly negative, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bearish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bearish strategy, the trade would be profitable if TD AMERITRADE HOLDING closed at or below $56.85 on 31-Aug-2018. Based on our analysis, there is a 48.13% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:35 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week High Alert: Trading today’s movement in ELI LILLY $LLY

The automated Quantcha Trade Ideas Service has detected a promising Bull Call Spread trade opportunity for ELI LILLY (LLY) for the 19-Oct-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

LLY was recently trading at $105.34 and has an implied volatility of 17.60% for this period. Based on an analysis of the options available for LLY expiring on 19-Oct-2018, there is a 34.14% likelihood that the underlying will close within the analyzed range of $106.22-$114.01 at expiration. In this scenario, the average linear return for the trade would be 59.82%.

52 week high: ELI LILLY recently reached a new 52-week high at $106.13. LLY had traded in the range $73.69-$105.92 over the past year.

Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if LLY maintains its current direction and does not revert back to pricing on the bearish side of $105.34 on 19-Oct-2018. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bullish strategy, the trade would be profitable if ELI LILLY closes at or above $105.60 on 19-Oct-2018. Based on our risk-neutral analysis, there is a 53.28% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.


This is an automated post generated based on a market analysis of delayed data at 8/21/2018 10:40:28 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

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