Big Loser Alert: Trading today’s -7.2% move in AXSOME THERAPEUTICS INC. COMMON STOCK $AXSM

Quantchabot has detected a new Bear Call Spread trade opportunity for AXSOME THERAPEUTICS INC. COMMON STOCK (AXSM) for the 19-Jul-2024 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

AXSM was recently trading at $66.61 and has an implied volatility of 57.41% for this period. Based on an analysis of the options available for AXSM expiring on 19-Jul-2024, there is a 34.19% likelihood that the underlying will close within the analyzed range of $55.59-$67.01 at expiration. In this scenario, the average linear return for the trade would be 26.73%.

Big -7.23% Change: After closing the last trading session at $71.80, AXSOME THERAPEUTICS INC. COMMON STOCK opened today at $66.90 and has reached a low of $64.11.

Trade approach: A movement as big as -7.23% is a significantly bearish indicator, so this trade is designed to be profitable if AXSM maintains its current direction and does not revert back to pricing on the bullish side of $66.61 on 19-Jul-2024. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bearish strategy, the trade would be profitable if AXSOME THERAPEUTICS INC. COMMON STOCK closes at or below $67.20 on 19-Jul-2024. Based on our risk-neutral analysis, there is a 50.62% 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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