Quantchabot has detected a new Bull Put Spread trade opportunity for CALEDONIA MINING CORP PLC (CMCL) for the 18-Jul-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CMCL was recently trading at $18.71 and has an implied volatility of 49.92% for this period. Based on an analysis of the options available for CMCL expiring on 18-Jul-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $18.80-$22.30 at expiration. In this scenario, the average linear return for the trade would be 18.73%.
52 week high: CALEDONIA MINING CORP PLC recently reached a new 52-week high at $19.29. CMCL had traded in the range $8.80-$18.13 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 CMCL maintains its current direction and does not revert back to pricing on the bearish side of $18.71 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 CALEDONIA MINING CORP PLC closes at or above $18.60 on 18-Jul-2025. Based on our risk-neutral analysis, there is a 52.52% 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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