Quantchabot has detected a new Covered Put trade opportunity for EDGEWISE THERAPEUTICS INC. (EWTX) for the 18-Jul-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
EWTX was recently trading at $12.89 and has an implied volatility of 97.36% for this period. Based on an analysis of the options available for EWTX expiring on 18-Jul-2025, there is a 34.23% likelihood that the underlying will close within the analyzed range of $10.14-$12.92 at expiration. In this scenario, the average linear return for the trade would be 14.58%.
Big -10.05% Change: After closing the last trading session at $14.33, EDGEWISE THERAPEUTICS INC. opened today at $13.20 and has reached a low of $12.15.
Trade approach: A movement as big as -10.05% is a significantly bearish indicator, so this trade is designed to be profitable if EWTX maintains its current direction and does not revert back to pricing on the bullish side of $12.89 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 bearish strategy, the trade would be profitable if EDGEWISE THERAPEUTICS INC. closes at or below $13.17 on 18-Jul-2025. Based on our risk-neutral analysis, there is a 53.11% 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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