Quantchabot has detected a new Bear Call Spread trade opportunity for BILIBILI INC. ADS (BILI) for the 25-Apr-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
BILI was recently trading at $21.14 and has an implied volatility of 69.49% for this period. Based on an analysis of the options available for BILI expiring on 25-Apr-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $16.66-$21.25 at expiration. In this scenario, the average linear return for the trade would be 40.68%.
Big -7.18% Change: After closing the last trading session at $22.77, BILIBILI INC. ADS opened today at $21.59 and has reached a low of $21.12.
Trade approach: A movement as big as -7.18% is a significantly bearish indicator, so this trade is designed to be profitable if BILI maintains its current direction and does not revert back to pricing on the bullish side of $21.14 on 25-Apr-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 BILIBILI INC. ADS closes at or below $21.28 on 25-Apr-2025. Based on our risk-neutral analysis, there is a 50.23% 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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