Quantchabot has detected a new Bear Call Spread trade opportunity for NEW FORTRESS ENERGY LLC (NFE) for the 25-Apr-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
NFE was recently trading at $7.84 and has an implied volatility of 104.03% for this period. Based on an analysis of the options available for NFE expiring on 25-Apr-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $5.50-$7.89 at expiration. In this scenario, the average linear return for the trade would be 81.79%.
Big -10.85% Change: After closing the last trading session at $8.80, NEW FORTRESS ENERGY LLC opened today at $8.59 and has reached a low of $7.58.
Trade approach: A movement as big as -10.85% is a significantly bearish indicator, so this trade is designed to be profitable if NFE maintains its current direction and does not revert back to pricing on the bullish side of $7.84 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 NEW FORTRESS ENERGY LLC closes at or below $7.95 on 25-Apr-2025. Based on our risk-neutral analysis, there is a 50.89% 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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