Quantchabot has detected a new Bull Call Spread trade opportunity for CANADIAN SOLAR (CSIQ) for the 9-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CSIQ was recently trading at $8.41 and has an implied volatility of 73.73% for this period. Based on an analysis of the options available for CSIQ expiring on 9-May-2025, there is a 34.26% likelihood that the underlying will close within the analyzed range of $8.43-$9.82 at expiration. In this scenario, the average linear return for the trade would be 13.16%.
Big 7.06% Change: After closing the last trading session at $7.86, CANADIAN SOLAR opened today at $7.82 and has reached a high of $8.42.
Trade approach: A movement as big as 7.06% is a significantly bullish indicator, so this trade is designed to be profitable if CSIQ maintains its current direction and does not revert back to pricing on the bearish side of $8.41 on 9-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 CANADIAN SOLAR closes at or above $8.35 on 9-May-2025. Based on our risk-neutral analysis, there is a 52.53% 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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