52-Week High Alert: Trading today’s movement in AGNICO EAGLE MINES LIMITED $AEM

Quantchabot has detected a promising Bull Call Spread trade opportunity for AGNICO EAGLE MINES LIMITED (AEM) for the 21-Jul-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

AEM was recently trading at $60.65 and has an implied volatility of 36.33% for this period. Based on an analysis of the options available for AEM expiring on 21-Jul-2023, there is a 34.16% likelihood that the underlying will close within the analyzed range of $60.88-$72.06 at expiration. In this scenario, the average linear return for the trade would be 15.13%.

52 week high: AGNICO EAGLE MINES LIMITED recently reached a new 52-week high at $60.88. AEM had traded in the range $36.69-$60.25 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 AEM maintains its current direction and does not revert back to pricing on the bearish side of $60.65 on 21-Jul-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 AGNICO EAGLE MINES LIMITED closes at or above $58.60 on 21-Jul-2023. Based on our risk-neutral analysis, there is a 58.95% 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.






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