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Quantchabot has detected a promising Bull Call Spread trade opportunity for IOVANCE BIOTHERAPEUTICS INC. COMMON STOCK (IOVA) for the 15-Oct-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
IOVA was recently trading at $24.42 and has an implied volatility of 99.61% for this period. Based on an analysis of the options available for IOVA expiring on 15-Oct-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $24.42-$32.54 at expiration. In this scenario, the average linear return for the trade would be 76.34%.
Big 12.33% Change: After closing the last trading session at $21.74, IOVANCE BIOTHERAPEUTICS INC. COMMON STOCK opened today at $21.84 and has reached a high of $24.59.
Trade approach: A movement as big as 12.33% is a significantly bullish indicator, so this trade is designed to be profitable if IOVA maintains its current direction and does not revert back to pricing on the bearish side of $24.42 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 IOVANCE BIOTHERAPEUTICS INC. COMMON STOCK closes at or above $23.90 on 15-Oct-2021. Based on our risk-neutral analysis, there is a 53.00% 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.