StockTwits Trending Alert: Trading recent interest in CIENA CORPORTION $CIEN

Quantcha now offering unlimited commission-free options trading.

Quantchabot has detected a promising Bear Call Spread trade opportunity for CIENA CORPORTION (CIEN) for the 5-Jun-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

CIEN was recently trading at $52.81 and has an implied volatility of 61.23% for this period. Based on an analysis of the options available for CIEN expiring on 5-Jun-2020, there is a 34.11% likelihood that the underlying will close within the analyzed range of $46.96-$52.81 at expiration. In this scenario, the average linear return for the trade would be 59.41%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, CIENA CORPORTION 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 CIEN 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 CIENA CORPORTION closed at or below $52.91 on 5-Jun-2020. Based on our analysis, there is a 50.62% 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.