Quantchabot has detected a new Bull Call Spread trade opportunity for NEW FORTRESS ENERGY LLC (NFE) for the 21-Feb-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
NFE was recently trading at $13.16 and has an implied volatility of 73.77% for this period. Based on an analysis of the options available for NFE expiring on 21-Feb-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $13.26-$17.92 at expiration. In this scenario, the average linear return for the trade would be 11.11%.
Big 10.03% Change: After closing the last trading session at $11.96, NEW FORTRESS ENERGY LLC opened today at $12.60 and has reached a high of $13.59.
Trade approach: A movement as big as 10.03% is a significantly bullish indicator, so this trade is designed to be profitable if NFE maintains its current direction and does not revert back to pricing on the bearish side of $13.16 on 21-Feb-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 NEW FORTRESS ENERGY LLC closes at or above $12.70 on 21-Feb-2025. Based on our risk-neutral analysis, there is a 55.70% 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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