Quantchabot has detected a promising Bull Call Spread trade opportunity for CELSIUS HOLDINGS INC. COMMON STOCK (CELH) for the 20-Jan-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CELH was recently trading at $101.32 and has an implied volatility of 65.75% for this period. Based on an analysis of the options available for CELH expiring on 20-Jan-2023, there is a 34.18% likelihood that the underlying will close within the analyzed range of $101.98-$132.74 at expiration. In this scenario, the average linear return for the trade would be 11.19%.
Big 8.75% Change: After closing the last trading session at $93.17, CELSIUS HOLDINGS INC. COMMON STOCK opened today at $93.25 and has reached a high of $101.91.
Trade approach: A movement as big as 8.75% is a significantly bullish indicator, so this trade is designed to be profitable if CELH maintains its current direction and does not revert back to pricing on the bearish side of $101.32 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 CELSIUS HOLDINGS INC. COMMON STOCK closes at or above $92.20 on 20-Jan-2023. Based on our risk-neutral analysis, there is a 64.92% 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.