Quantchabot has detected a promising Bull Call Spread trade opportunity for CEL-SCI (CVM) for the 16-Dec-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CVM was recently trading at $3.02 and has an implied volatility of 95.72% for this period. Based on an analysis of the options available for CVM expiring on 16-Dec-2022, there is a 34.24% likelihood that the underlying will close within the analyzed range of $3.03-$3.88 at expiration. In this scenario, the average linear return for the trade would be 11.11%.
Big 7.09% Change: After closing the last trading session at $2.82, CEL-SCI opened today at $3.01 and has reached a high of $3.02.
Trade approach: A movement as big as 7.09% is a significantly bullish indicator, so this trade is designed to be profitable if CVM maintains its current direction and does not revert back to pricing on the bearish side of $3.02 on 16-Dec-2022. 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 CEL-SCI closes at or above $2.90 on 16-Dec-2022. Based on our risk-neutral analysis, there is a 56.93% 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.