Quantchabot has detected a new Bull Call Spread trade opportunity for CALUMET SPECIALTY (CLMT) for the 2-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CLMT was recently trading at $13.02 and has an implied volatility of 81.51% for this period. Based on an analysis of the options available for CLMT expiring on 2-May-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $13.09-$17.53 at expiration. In this scenario, the average linear return for the trade would be 10.09%.
Big 7.95% Change: After closing the last trading session at $12.06, CALUMET SPECIALTY opened today at $12.73 and has reached a high of $13.11.
Trade approach: A movement as big as 7.95% is a significantly bullish indicator, so this trade is designed to be profitable if CLMT maintains its current direction and does not revert back to pricing on the bearish side of $13.02 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 CALUMET SPECIALTY closes at or above $11.45 on 2-May-2025. Based on our risk-neutral analysis, there is a 67.75% 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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