Big Loser Alert: Trading today’s -7.3% move in ARCHER AVIATION INC $ACHR

Quantchabot has detected a new Bear Call Spread trade opportunity for ARCHER AVIATION INC (ACHR) for the 21-Feb-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

ACHR was recently trading at $8.76 and has an implied volatility of 99.86% for this period. Based on an analysis of the options available for ACHR expiring on 21-Feb-2025, there is a 34.27% likelihood that the underlying will close within the analyzed range of $7.00-$8.78 at expiration. In this scenario, the average linear return for the trade would be 24.05%.

Big -7.29% Change: After closing the last trading session at $9.45, ARCHER AVIATION INC opened today at $8.81 and has reached a low of $8.65.

Trade approach: A movement as big as -7.29% is a significantly bearish indicator, so this trade is designed to be profitable if ACHR maintains its current direction and does not revert back to pricing on the bullish side of $8.76 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 bearish strategy, the trade would be profitable if ARCHER AVIATION INC closes at or below $8.79 on 21-Feb-2025. Based on our risk-neutral analysis, there is a 50.18% 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.


Posted

in

by

Tags:

Comments

Leave a Reply