Quantchabot has detected a new Bull Call Spread trade opportunity for FUTU HOLDINGS LTD ADS (FUTU) for the 2-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
FUTU was recently trading at $119.20 and has an implied volatility of 64.35% for this period. Based on an analysis of the options available for FUTU expiring on 2-May-2025, there is a 34.17% likelihood that the underlying will close within the analyzed range of $119.93-$152.08 at expiration. In this scenario, the average linear return for the trade would be 10.42%.
Big 10.87% Change: After closing the last trading session at $107.52, FUTU HOLDINGS LTD ADS opened today at $112.99 and has reached a high of $121.09.
Trade approach: A movement as big as 10.87% is a significantly bullish indicator, so this trade is designed to be profitable if FUTU maintains its current direction and does not revert back to pricing on the bearish side of $119.20 on 2-May-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 FUTU HOLDINGS LTD ADS closes at or above $108.00 on 2-May-2025. Based on our risk-neutral analysis, there is a 67.07% 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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