Quantchabot has detected a new Bull Call Spread trade opportunity for PLAYA HOTELS & RESORTS N.V. (PLYA) for the 17-Jan-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
PLYA was recently trading at $12.27 and has an implied volatility of 55.77% for this period. Based on an analysis of the options available for PLYA expiring on 17-Jan-2025, there is a 34.23% likelihood that the underlying will close within the analyzed range of $12.31-$14.27 at expiration. In this scenario, the average linear return for the trade would be 10.55%.
Big 27.68% Change: After closing the last trading session at $9.61, PLAYA HOTELS & RESORTS N.V. opened today at $12.01 and has reached a high of $12.70.
Trade approach: A movement as big as 27.68% is a significantly bullish indicator, so this trade is designed to be profitable if PLYA maintains its current direction and does not revert back to pricing on the bearish side of $12.27 on 17-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 PLAYA HOTELS & RESORTS N.V. closes at or above $12.25 on 17-Jan-2025. Based on our risk-neutral analysis, there is a 51.30% 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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