Quantchabot has detected a new Bull Call Spread trade opportunity for RADIAN GROUP (RDN) for the 17-Oct-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
RDN was recently trading at $37.34 and has an implied volatility of 26.03% for this period. Based on an analysis of the options available for RDN expiring on 17-Oct-2025, there is a 34.20% likelihood that the underlying will close within the analyzed range of $37.47-$40.36 at expiration. In this scenario, the average linear return for the trade would be 33.67%.
Big 7.53% Change: After closing the last trading session at $34.73, RADIAN GROUP opened today at $36.39 and has reached a high of $38.84.
Trade approach: A movement as big as 7.53% is a significantly bullish indicator, so this trade is designed to be profitable if RDN maintains its current direction and does not revert back to pricing on the bearish side of $37.34 on 17-Oct-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 RADIAN GROUP closes at or above $37.20 on 17-Oct-2025. Based on our risk-neutral analysis, there is a 53.95% 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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