52-Week High Alert: Trading today’s movement in RESTAURANT BRANDS INTL. $QSR

Quantchabot has detected a promising Bull Call Spread trade opportunity for RESTAURANT BRANDS INTL. (QSR) for the 20-Jan-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

QSR was recently trading at $67.77 and has an implied volatility of 23.58% for this period. Based on an analysis of the options available for QSR expiring on 20-Jan-2023, there is a 34.17% likelihood that the underlying will close within the analyzed range of $67.68-$74.51 at expiration. In this scenario, the average linear return for the trade would be 10.74%.

52 week high: RESTAURANT BRANDS INTL. recently reached a new 52-week high at $68.20. QSR had traded in the range $46.68-$66.66 over the past year.

Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if QSR maintains its current direction and does not revert back to pricing on the bearish side of $67.77 on 20-Jan-2023. 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 RESTAURANT BRANDS INTL. closes at or above $67.60 on 20-Jan-2023. Based on our risk-neutral analysis, there is a 50.48% 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.