Category Archives: Trade Ideas

Covered Call Alert: DIREXION DAILY SMALL CAP BEAR $TZA returning up to 30.80% through 20-Oct-2017

The automated Quantcha Trade Ideas Service has detected a promising Covered Call trade opportunity for DIREXION DAILY SMALL CAP BEAR (TZA) for the 20-Oct-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

TZA was recently trading at $16.79 and has an implied volatility of 47.42% for this period. Based on an analysis of the options available for TZA expiring on 20-Oct-2017, there is a 68.27% likelihood that the underlying will close within the analyzed range of $12.06-$23.74 at expiration. In this scenario, the average linear return for the trade would be 10.06%.

Moneyness: These options are currently 19.15% out of the money and there is a 33.59% likelihood that these options will be exercised before or at expiration.

Most upside: If DIREXION DAILY SMALL CAP BEAR closes at or above $20.00, this trade could return up to 30.80%. Based on our analysis, there is a 31.07% 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 38.23% chance the underlying will close at or below its breakeven price of $15.29, 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 4/25/2017 11:23:56 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Covered Call Alert: GLOBALSTAR INC. $GSAT returning up to 25.00% through 20-Oct-2017

The automated Quantcha Trade Ideas Service has detected a promising Covered Call trade opportunity for GLOBALSTAR INC. (GSAT) for the 20-Oct-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

GSAT was recently trading at $1.94 and has an implied volatility of 73.49% for this period. Based on an analysis of the options available for GSAT expiring on 20-Oct-2017, there is a 68.27% likelihood that the underlying will close within the analyzed range of $1.11-$3.45 at expiration. In this scenario, the average linear return for the trade would be 10.11%.

Moneyness: These options are currently 2.83% out of the money and there is a 48.26% likelihood that these options will be exercised before or at expiration.

Most upside: If GLOBALSTAR INC. closes at or above $3.45, this trade could return up to 25.00%. Based on our analysis, there is a 15.87% 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 35.95% chance the underlying will close at or below its breakeven price of $1.60, 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 4/25/2017 11:23:37 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Synthetic Long Discount Alert: LANDS END INC. COMMON STOCK $LE trading at a 9.93% discount for the 15-Dec-2017 expiration

The automated Quantcha Trade Ideas Service has detected a promising Synthetic Long Stock trade opportunity for LANDS END INC. COMMON STOCK (LE) for the 15-Dec-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

LE was recently trading at $21.70 and has an implied volatility of 13.41% for this period. Based on an analysis of the options available for LE expiring on 15-Dec-2017, there is a 68.27% likelihood that the underlying will close within the analyzed range of $16.21-$29.58 at expiration. In this scenario, the average linear return for the trade would be 51.97%.

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 $22.50, which is already $0.80 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 $3.00 per share. The final position can be considered as having a discount of $2.20 per share over the underlying price of $21.70 for a 10.14% 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 4/25/2017 11:23:15 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Synthetic Long Discount Alert: GOPRO INC. CLASS A COMMON STO $GPRO trading at a 11.14% discount for the 18-Jan-2019 expiration

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

GPRO was recently trading at $9.12 and has an implied volatility of 37.56% for this period. Based on an analysis of the options available for GPRO expiring on 18-Jan-2019, there is a 68.27% likelihood that the underlying will close within the analyzed range of $4.50-$19.33 at expiration. In this scenario, the average linear return for the trade would be 56.73%.

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 $10.00, which is already $0.89 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 $1.90 per share. The final position can be considered as having a discount of $1.02 per share over the underlying price of $9.12 for a 11.14% 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 4/25/2017 10:26:56 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

Synthetic Long Discount Alert: SEARS HOLDINGS $SHLD trading at a 21.92% discount for the 15-Jun-2018 expiration

The automated Quantcha Trade Ideas Service has detected a promising Synthetic Long Stock trade opportunity for SEARS HOLDINGS (SHLD) for the 15-Jun-2018 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

SHLD was recently trading at $12.28 and has an implied volatility of 44.75% for this period. Based on an analysis of the options available for SHLD expiring on 15-Jun-2018, there is a 68.27% likelihood that the underlying will close within the analyzed range of $4.84-$32.32 at expiration. In this scenario, the average linear return for the trade would be 91.02%.

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 $13.00, which is already $0.72 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 $3.42 per share. The final position can be considered as having a discount of $2.70 per share over the underlying price of $12.28 for a 21.99% 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 4/25/2017 10:26:20 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 MANPOWERGROUP $MAN

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for MANPOWERGROUP (MAN) for the 16-Jun-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

MAN was recently trading at $104.88 and has an implied volatility of 19.69% for this period. Based on an analysis of the options available for MAN expiring on 16-Jun-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $104.39-$112.93 at expiration. In this scenario, the average linear return for the trade would be 48.60%.

52 week high: MANPOWERGROUP recently reached a new 52-week high at $106.99. MAN had traded in the range $57.26-$103.90 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 MAN maintains its current direction and does not revert back to pricing on the bearish side of $104.88 on 16-Jun-2017. 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 MANPOWERGROUP closes at or above $103.35 on 16-Jun-2017. Based on our risk-neutral analysis, there is a 55.06% 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 4/24/2017 3:32:51 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week Low Alert: Trading today’s movement in MATTEL $MAT

The automated Quantcha Trade Ideas Service has detected a promising Bear Call Spread trade opportunity for MATTEL (MAT) for the 2-Jun-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

MAT was recently trading at $21.69 and has an implied volatility of 19.93% for this period. Based on an analysis of the options available for MAT expiring on 2-Jun-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $19.81-$21.37 at expiration. In this scenario, the average linear return for the trade would be 45.52%.

52 week low: MATTEL recently reached a new 52-week low at $21.55. MAT had traded in the range $24.60-$34.24 over the past year.

Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if MAT maintains its current direction and does not revert back to pricing on the bullish side of $21.69 on 2-Jun-2017. 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 MATTEL closes at or below $21.50 on 2-Jun-2017. Based on our risk-neutral analysis, there is a 53.08% 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 4/24/2017 3:32:35 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week High Alert: Trading today’s movement in DARDEN RESTAURANTS $DRI

The automated Quantcha Trade Ideas Service has detected a promising Bull Call Spread trade opportunity for DARDEN RESTAURANTS (DRI) for the 19-May-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

DRI was recently trading at $85.51 and has an implied volatility of 16.51% for this period. Based on an analysis of the options available for DRI expiring on 19-May-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $85.75-$89.57 at expiration. In this scenario, the average linear return for the trade would be 48.39%.

52 week high: DARDEN RESTAURANTS recently reached a new 52-week high at $85.76. DRI had traded in the range $59.50-$84.55 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 DRI maintains its current direction and does not revert back to pricing on the bearish side of $85.51 on 19-May-2017. 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 DARDEN RESTAURANTS closes at or above $85.60 on 19-May-2017. Based on our risk-neutral analysis, there is a 51.63% 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 4/24/2017 3:32:26 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week High Alert: Trading today’s movement in QUEST DIAGNOSTICS $DGX

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for QUEST DIAGNOSTICS (DGX) for the 19-May-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

DGX was recently trading at $104.10 and has an implied volatility of 12.81% for this period. Based on an analysis of the options available for DGX expiring on 19-May-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $104.35-$108.05 at expiration. In this scenario, the average linear return for the trade would be 30.08%.

52 week high: QUEST DIAGNOSTICS recently reached a new 52-week high at $104.52. DGX had traded in the range $73.21-$104.17 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 DGX maintains its current direction and does not revert back to pricing on the bearish side of $104.10 on 19-May-2017. 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 QUEST DIAGNOSTICS closes at or above $103.80 on 19-May-2017. Based on our risk-neutral analysis, there is a 56.04% 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 4/24/2017 3:32:11 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.

52-Week High Alert: Trading today’s movement in ALLIANCE DATA SYSTEMS $ADS

The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for ALLIANCE DATA SYSTEMS (ADS) for the 16-Jun-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

ADS was recently trading at $261.87 and has an implied volatility of 21.28% for this period. Based on an analysis of the options available for ADS expiring on 16-Jun-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $262.36-$285.48 at expiration. In this scenario, the average linear return for the trade would be 54.86%.

52 week high: ALLIANCE DATA SYSTEMS recently reached a new 52-week high at $263.95. ADS had traded in the range $185.02-$263.40 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 ADS maintains its current direction and does not revert back to pricing on the bearish side of $261.87 on 16-Jun-2017. 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 ALLIANCE DATA SYSTEMS closes at or above $262.10 on 16-Jun-2017. Based on our risk-neutral analysis, there is a 50.47% 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 4/24/2017 3:31:56 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.