Quantchabot has detected a new Secured Put trade opportunity for CHILDRENS PLACE INC. (PLCE) for the 30-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
PLCE was recently trading at $6.05 and has an implied volatility of 99.21% for this period. Based on an analysis of the options available for PLCE expiring on 30-May-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $6.08-$8.60 at expiration. In this scenario, the average linear return for the trade would be 18.89%.
Big 11.62% Change: After closing the last trading session at $5.42, CHILDRENS PLACE INC. opened today at $5.38 and has reached a high of $6.09.
Trade approach: A movement as big as 11.62% is a significantly bullish indicator, so this trade is designed to be profitable if PLCE maintains its current direction and does not revert back to pricing on the bearish side of $6.05 on 30-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 CHILDRENS PLACE INC. closes at or above $5.70 on 30-May-2025. Based on our risk-neutral analysis, there is a 57.45% 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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