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Quantchabot has detected a promising Bear Put Spread trade opportunity for ALTERYX INC (AYX) for the 18-Jun-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
AYX was recently trading at $73.57 and has an implied volatility of 49.55% for this period. Based on an analysis of the options available for AYX expiring on 18-Jun-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $63.77-$73.58 at expiration. In this scenario, the average linear return for the trade would be 56.36%.
52 week low: ALTERYX INC recently reached a new 52-week low at $73.32. AYX had traded in the range $74.21-$185.75 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 AYX maintains its current direction and does not revert back to pricing on the bullish side of $73.57 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 bearish strategy, the trade would be profitable if ALTERYX INC closes at or below $74.07 on 18-Jun-2021. Based on our risk-neutral analysis, there is a 51.87% 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.