Quantchabot has detected a new Bull Call Spread trade opportunity for SOLID POWER INC. CLASS A COMMON STOCK (SLDP) for the 21-Feb-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
SLDP was recently trading at $1.40 and has an implied volatility of 140.88% for this period. Based on an analysis of the options available for SLDP expiring on 21-Feb-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $1.41-$2.50 at expiration. In this scenario, the average linear return for the trade would be 41.96%.
Big 7.69% Change: After closing the last trading session at $1.30, SOLID POWER INC. CLASS A COMMON STOCK opened today at $1.31 and has reached a high of $1.42.
Trade approach: A movement as big as 7.69% is a significantly bullish indicator, so this trade is designed to be profitable if SLDP maintains its current direction and does not revert back to pricing on the bearish side of $1.40 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 SOLID POWER INC. CLASS A COMMON STOCK closes at or above $1.20 on 21-Feb-2025. Based on our risk-neutral analysis, there is a 61.10% 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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