Quantchabot has detected a new Bear Call Spread trade opportunity for CNX RESOURCES CORP (CNX) for the 17-Jan-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CNX was recently trading at $30.77 and has an implied volatility of 65.63% for this period. Based on an analysis of the options available for CNX expiring on 17-Jan-2025, there is a 34.36% likelihood that the underlying will close within the analyzed range of $27.40-$30.81 at expiration. In this scenario, the average linear return for the trade would be 40.93%.
Big -7.11% Change: After closing the last trading session at $33.12, CNX RESOURCES CORP opened today at $33.60 and has reached a low of $30.61.
Trade approach: A movement as big as -7.11% is a significantly bearish indicator, so this trade is designed to be profitable if CNX maintains its current direction and does not revert back to pricing on the bullish side of $30.77 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 bearish strategy, the trade would be profitable if CNX RESOURCES CORP closes at or below $30.90 on 17-Jan-2025. Based on our risk-neutral analysis, there is a 51.01% 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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