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Quantchabot has detected a promising Bull Call Spread trade opportunity for ABCELLERA BIOLOGICS INC. COMMON SHARES (ABCL) for the 15-Oct-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
ABCL was recently trading at $18.93 and has an implied volatility of 74.95% for this period. Based on an analysis of the options available for ABCL expiring on 15-Oct-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $18.93-$23.50 at expiration. In this scenario, the average linear return for the trade would be 72.92%.
Big 7.80% Change: After closing the last trading session at $17.56, ABCELLERA BIOLOGICS INC. COMMON SHARES opened today at $19.18 and has reached a high of $19.54.
Trade approach: A movement as big as 7.80% is a significantly bullish indicator, so this trade is designed to be profitable if ABCL maintains its current direction and does not revert back to pricing on the bearish side of $18.93 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 ABCELLERA BIOLOGICS INC. COMMON SHARES closes at or above $18.85 on 15-Oct-2021. Based on our risk-neutral analysis, there is a 50.79% 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.