52-Week High Alert: Trading today’s movement in ACCENTURE $ACN

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Quantchabot has detected a promising Bull Put Spread trade opportunity for ACCENTURE (ACN) for the 13-Mar-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

ACN was recently trading at $214.22 and has an implied volatility of 16.73% for this period. Based on an analysis of the options available for ACN expiring on 13-Mar-2020, there is a 34.14% likelihood that the underlying will close within the analyzed range of $214.58-$226.32 at expiration. In this scenario, the average linear return for the trade would be 42.64%.

52 week high: ACCENTURE recently reached a new 52-week high at $214.35. ACN had traded in the range $154.02-$213.79 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 ACN maintains its current direction and does not revert back to pricing on the bearish side of $214.22 on 13-Mar-2020. 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 ACCENTURE closes at or above $212.75 on 13-Mar-2020. Based on our risk-neutral analysis, there is a 56.38% 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.