Quantchabot has detected a new Bull Call Spread trade opportunity for ALLSTATE (ALL) for the 17-Apr-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
ALL was recently trading at $209.82 and has an implied volatility of 24.88% for this period. Based on an analysis of the options available for ALL expiring on 17-Apr-2025, there is a 34.19% likelihood that the underlying will close within the analyzed range of $210.64-$226.66 at expiration. In this scenario, the average linear return for the trade would be 11.13%.
52 week high: ALLSTATE recently reached a new 52-week high at $210.35. ALL had traded in the range $156.66-$209.88 over the past year.
Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if ALL maintains its current direction and does not revert back to pricing on the bearish side of $209.82 on 17-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 bullish strategy, the trade would be profitable if ALLSTATE closes at or above $209.15 on 17-Apr-2025. Based on our risk-neutral analysis, there is a 53.86% 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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