Quantchabot has detected a new Bull Call Spread trade opportunity for MONGODB INC. CLASS A COMMON STOCK (MDB) for the 23-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
MDB was recently trading at $174.27 and has an implied volatility of 58.10% for this period. Based on an analysis of the options available for MDB expiring on 23-May-2025, there is a 34.20% likelihood that the underlying will close within the analyzed range of $174.90-$206.37 at expiration. In this scenario, the average linear return for the trade would be 10.29%.
Big 7.14% Change: After closing the last trading session at $162.66, MONGODB INC. CLASS A COMMON STOCK opened today at $162.92 and has reached a high of $174.83.
Trade approach: A movement as big as 7.14% is a significantly bullish indicator, so this trade is designed to be profitable if MDB maintains its current direction and does not revert back to pricing on the bearish side of $174.27 on 23-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 MONGODB INC. CLASS A COMMON STOCK closes at or above $166.60 on 23-May-2025. Based on our risk-neutral analysis, there is a 61.58% 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.
Leave a Reply
You must be logged in to post a comment.