StockTwits Trending Alert: Trading recent interest in DICK’S SPORTING GOODS $DKS

Quantchabot has detected a promising Long Risk Reversal trade opportunity for DICK’S SPORTING GOODS (DKS) for the 19-Jan-2024 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

DKS was recently trading at $117.76 and has an implied volatility of 50.13% for this period. Based on an analysis of the options available for DKS expiring on 19-Jan-2024, there is a 36.80% likelihood that the underlying will close within the analyzed range of $117.76-$209.43 at expiration. In this scenario, the average linear return for the trade would be 108.07%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, DICK’S SPORTING GOODS was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in DKS on StockTwits appears to be significantly positive, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bullish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bullish strategy, the trade would be profitable if DICK’S SPORTING GOODS closed at or above $117.60 on 19-Jan-2024. Based on our analysis, there is a 52.76% 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.