Quantchabot has detected a new Bear Call Spread trade opportunity for FEDERAL REALTY INVESTMENT (FRT) for the 17-Apr-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
FRT was recently trading at $95.94 and has an implied volatility of 25.68% for this period. Based on an analysis of the options available for FRT expiring on 17-Apr-2025, there is a 34.20% likelihood that the underlying will close within the analyzed range of $87.90-$95.25 at expiration. In this scenario, the average linear return for the trade would be 52.35%.
52 week low: FEDERAL REALTY INVESTMENT recently reached a new 52-week low at $95.92. FRT had traded in the range $95.97-$118.34 over the past year.
Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if FRT maintains its current direction and does not revert back to pricing on the bullish side of $95.94 on 17-Apr-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 FEDERAL REALTY INVESTMENT closes at or below $95.45 on 17-Apr-2025. Based on our risk-neutral analysis, there is a 51.06% 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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