Big Gainer Alert: Trading today’s 8.5% move in ATHENEX INC. COMMON STOCK $ATNX

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Quantchabot has detected a promising Bull Call Spread trade opportunity for ATHENEX INC. COMMON STOCK (ATNX) for the 16-Oct-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

ATNX was recently trading at $12.83 and has an implied volatility of 65.82% for this period. Based on an analysis of the options available for ATNX expiring on 16-Oct-2020, there is a 34.14% likelihood that the underlying will close within the analyzed range of $12.83-$15.56 at expiration. In this scenario, the average linear return for the trade would be 21.95%.

Big 8.45% Change: After closing the last trading session at $11.83, ATHENEX INC. COMMON STOCK opened today at $12.25 and has reached a high of $12.87.

Trade approach: A movement as big as 8.45% is a significantly bullish indicator, so this trade is designed to be profitable if ATNX maintains its current direction and does not revert back to pricing on the bearish side of $12.83 on 16-Oct-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 ATHENEX INC. COMMON STOCK closes at or above $12.05 on 16-Oct-2020. Based on our risk-neutral analysis, there is a 62.79% 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.