52-Week High Alert: Trading today’s movement in MAKEMYTRIP $MMYT

Quantchabot has detected a promising Bull Call Spread trade opportunity for MAKEMYTRIP (MMYT) for the 20-Oct-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

MMYT was recently trading at $38.36 and has an implied volatility of 33.75% for this period. Based on an analysis of the options available for MMYT expiring on 20-Oct-2023, there is a 34.17% likelihood that the underlying will close within the analyzed range of $38.68-$43.97 at expiration. In this scenario, the average linear return for the trade would be 14.16%.

52 week high: MAKEMYTRIP recently reached a new 52-week high at $38.78. MMYT had traded in the range $22.50-$38.64 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 MMYT maintains its current direction and does not revert back to pricing on the bearish side of $38.36 on 20-Oct-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 MAKEMYTRIP closes at or above $37.65 on 20-Oct-2023. Based on our risk-neutral analysis, there is a 58.32% 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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