Quantchabot has detected a new Bull Put Spread trade opportunity for BANK OF MONTREAL (BMO) for the 15-Aug-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
BMO was recently trading at $111.11 and has an implied volatility of 17.32% for this period. Based on an analysis of the options available for BMO expiring on 15-Aug-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $110.52-$117.42 at expiration. In this scenario, the average linear return for the trade would be 10.50%.
52 week high: BANK OF MONTREAL recently reached a new 52-week high at $111.59. BMO had traded in the range $76.98-$110.74 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 BMO maintains its current direction and does not revert back to pricing on the bearish side of $111.11 on 15-Aug-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 BANK OF MONTREAL closes at or above $109.05 on 15-Aug-2025. Based on our risk-neutral analysis, there is a 58.72% 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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