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Quantchabot has detected a promising Bull Put Spread trade opportunity for BIOCRYST PHARMACEUTICALS (BCRX) for the 18-Jun-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
BCRX was recently trading at $14.12 and has an implied volatility of 81.57% for this period. Based on an analysis of the options available for BCRX expiring on 18-Jun-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $14.12-$18.00 at expiration. In this scenario, the average linear return for the trade would be 77.82%.
Big 9.97% Change: After closing the last trading session at $12.84, BIOCRYST PHARMACEUTICALS opened today at $12.81 and has reached a high of $14.19.
Trade approach: A movement as big as 9.97% is a significantly bullish indicator, so this trade is designed to be profitable if BCRX maintains its current direction and does not revert back to pricing on the bearish side of $14.12 on 18-Jun-2021. 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 BIOCRYST PHARMACEUTICALS closes at or above $14.05 on 18-Jun-2021. Based on our risk-neutral analysis, there is a 50.83% 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.