Quantchabot has detected a new Bull Call Spread trade opportunity for PALANTIR TECHNOLOGIES INC. CLASS A (PLTR) for the 31-Jan-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
PLTR was recently trading at $78.35 and has an implied volatility of 68.14% for this period. Based on an analysis of the options available for PLTR expiring on 31-Jan-2025, there is a 34.20% likelihood that the underlying will close within the analyzed range of $78.74-$98.60 at expiration. In this scenario, the average linear return for the trade would be 10.91%.
52 week high: PALANTIR TECHNOLOGIES INC. CLASS A recently reached a new 52-week high at $82.02. PLTR had traded in the range $15.66-$80.91 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 PLTR maintains its current direction and does not revert back to pricing on the bearish side of $78.35 on 31-Jan-2025. 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 PALANTIR TECHNOLOGIES INC. CLASS A closes at or above $67.95 on 31-Jan-2025. Based on our risk-neutral analysis, there is a 74.43% 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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