Quantcha now offering unlimited commission-free options trading.
Quantchabot has detected a promising Bull Put Spread trade opportunity for PAR TECHNOLOGY (PAR) for the 15-Oct-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
PAR was recently trading at $61.78 and has an implied volatility of 56.54% for this period. Based on an analysis of the options available for PAR expiring on 15-Oct-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $61.78-$72.72 at expiration. In this scenario, the average linear return for the trade would be 60.68%.
Big 10.30% Change: After closing the last trading session at $56.01, PAR TECHNOLOGY opened today at $60.21 and has reached a high of $62.17.
Trade approach: A movement as big as 10.30% is a significantly bullish indicator, so this trade is designed to be profitable if PAR maintains its current direction and does not revert back to pricing on the bearish side of $61.78 on 15-Oct-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 PAR TECHNOLOGY closes at or above $60.85 on 15-Oct-2021. Based on our risk-neutral analysis, there is a 53.73% 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.