Quantchabot has detected a promising Bull Call Spread trade opportunity for XTRADERS HVST CSI 300 (ASHR) for the 20-Oct-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
ASHR was recently trading at $26.25 and has an implied volatility of 22.52% for this period. Based on an analysis of the options available for ASHR expiring on 20-Oct-2023, there is a 38.02% likelihood that the underlying will close within the analyzed range of $26.25-$28.84 at expiration. In this scenario, the average linear return for the trade would be 50.90%.
Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, XTRADERS HVST CSI 300 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 ASHR 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 XTRADERS HVST CSI 300 closed at or above $26.24 on 20-Oct-2023. Based on our analysis, there is a 54.02% 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.