Quantchabot has detected a new Bull Call Spread trade opportunity for INSMED (INSM) for the 18-Jul-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
INSM was recently trading at $89.70 and has an implied volatility of 48.71% for this period. Based on an analysis of the options available for INSM expiring on 18-Jul-2025, there is a 34.19% likelihood that the underlying will close within the analyzed range of $90.12-$105.62 at expiration. In this scenario, the average linear return for the trade would be 10.35%.
52 week high: INSMED recently reached a new 52-week high at $91.86. INSM had traded in the range $55.74-$84.91 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 INSM maintains its current direction and does not revert back to pricing on the bearish side of $89.70 on 18-Jul-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 INSMED closes at or above $88.50 on 18-Jul-2025. Based on our risk-neutral analysis, there is a 54.56% 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.