All posts by Automated Ideas

Ideas posted by this account are automatically generated based on market analysis. Please be aware that they are not vetted and the publishing process is completely automated. If you have any feedback about the ideas posted, please email hello@quantcha.com.

Big Gainer Alert: Trading today’s 11.0% move in FUTU HOLDINGS LTD ADS $FUTU

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Quantchabot has detected a promising Bull Call Spread trade opportunity for FUTU HOLDINGS LTD ADS (FUTU) for the 19-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

FUTU was recently trading at $68.28 and has an implied volatility of 84.39% for this period. Based on an analysis of the options available for FUTU expiring on 19-Feb-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $68.29-$89.76 at expiration. In this scenario, the average linear return for the trade would be 102.62%.

Big 11.02% Change: After closing the last trading session at $61.50, FUTU HOLDINGS LTD ADS opened today at $65.67 and has reached a high of $69.00.

Trade approach: A movement as big as 11.02% is a significantly bullish indicator, so this trade is designed to be profitable if FUTU maintains its current direction and does not revert back to pricing on the bearish side of $68.28 on 19-Feb-2021. 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 FUTU HOLDINGS LTD ADS closes at or above $67.90 on 19-Feb-2021. Based on our risk-neutral analysis, there is a 50.83% 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.

Synthetic Long Discount Alert: CBAK ENERGY TECHNOLOGY INC. COMMON STOCK $CBAT trading at a 16.13% discount for the 16-Jul-2021 expiration

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Quantchabot has detected a promising Synthetic Long Stock trade opportunity for CBAK ENERGY TECHNOLOGY INC. COMMON STOCK (CBAT) for the 16-Jul-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

CBAT was recently trading at $7.13 and has an implied volatility of 155.10% for this period. Based on an analysis of the options available for CBAT expiring on 16-Jul-2021, there is a 68.27% likelihood that the underlying will close within the analyzed range of $2.36-$21.56 at expiration. In this scenario, the average linear return for the trade would be 63.28%.

Upside potential: This synthetic long position offers the same potential benefits and liabilities as a long stock position, but at a discount due to the significant premium at-the-money puts are trading at over calls. In this case, the put position is opened at a strike of $7.50, which is already $0.37 in-the-money. However, its sale more than offsets this moneyness and the cost of the long call that the trade results in a net credit of of $1.52 per share. The final position can be considered as having a discount of $1.15 per share over the underlying price of $7.13 for a 16.13% total.

Downside risk: This discount is generally a sign of the stock facing considerable short pressure, and may indicate that the stock has become hard to borrow. However, if you have a long view of the underlying over this period, it could be a good opportunity to benefit from the upside at a major discount.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.

Big Gainer Alert: Trading today’s 11.9% move in OCCIDENTAL PETROLEUM $OXY

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Quantchabot has detected a promising Bull Put Spread trade opportunity for OCCIDENTAL PETROLEUM (OXY) for the 29-Jan-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

OXY was recently trading at $22.47 and has an implied volatility of 73.22% for this period. Based on an analysis of the options available for OXY expiring on 29-Jan-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $22.47-$26.36 at expiration. In this scenario, the average linear return for the trade would be 106.94%.

Big 11.90% Change: After closing the last trading session at $20.08, OCCIDENTAL PETROLEUM opened today at $20.59 and has reached a high of $22.60.

Trade approach: A movement as big as 11.90% is a significantly bullish indicator, so this trade is designed to be profitable if OXY maintains its current direction and does not revert back to pricing on the bearish side of $22.47 on 29-Jan-2021. 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 OCCIDENTAL PETROLEUM closes at or above $22.46 on 29-Jan-2021. Based on our risk-neutral analysis, there is a 50.13% 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.

52-Week High Alert: Trading today’s movement in DEERE $DE

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Quantchabot has detected a promising Bull Put Spread trade opportunity for DEERE (DE) for the 12-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

DE was recently trading at $301.43 and has an implied volatility of 30.13% for this period. Based on an analysis of the options available for DE expiring on 12-Feb-2021, there is a 34.13% likelihood that the underlying will close within the analyzed range of $301.46-$329.28 at expiration. In this scenario, the average linear return for the trade would be 58.36%.

52 week high: DEERE recently reached a new 52-week high at $302.34. DE had traded in the range $106.14-$300.56 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 DE maintains its current direction and does not revert back to pricing on the bearish side of $301.43 on 12-Feb-2021. 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 DEERE closes at or above $301.45 on 12-Feb-2021. Based on our risk-neutral analysis, there is a 50.02% 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.

Synthetic Long Discount Alert: LEMONADE INC $LMND trading at a 13.45% discount for the 20-Jan-2023 expiration

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Quantchabot has detected a promising Synthetic Long Stock trade opportunity for LEMONADE INC (LMND) for the 20-Jan-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

LMND was recently trading at $186.01 and has an implied volatility of 88.72% for this period. Based on an analysis of the options available for LMND expiring on 20-Jan-2023, there is a 68.27% likelihood that the underlying will close within the analyzed range of $53.02-$661.39 at expiration. In this scenario, the average linear return for the trade would be 64.25%.

Upside potential: This synthetic long position offers the same potential benefits and liabilities as a long stock position, but at a discount due to the significant premium at-the-money puts are trading at over calls. In this case, the long call position is opened at a strike of $185.00, which is already $1.01 in the money. An out-of-the-money put at the same strike is sold to finance the call, resulting in a net credit of $24.00 per share. The final position can be considered as having a discount of $25.01 per share over the underlying price of $186.01 for a 13.45% total.

Downside risk: This discount is generally a sign of the stock facing considerable short pressure, and may indicate that the stock has become hard to borrow. However, if you have a long view of the underlying over this period, it could be a good opportunity to benefit from the upside at a major discount.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.

StockTwits Trending Alert: Trading recent interest in FORD MOTOR $F

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Quantchabot has detected a promising Bull Put Spread trade opportunity for FORD MOTOR (F) for the 22-Jan-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

F was recently trading at $9.67 and has an implied volatility of 40.46% for this period. Based on an analysis of the options available for F expiring on 22-Jan-2021, there is a 33.85% likelihood that the underlying will close within the analyzed range of $9.68-$10.35 at expiration. In this scenario, the average linear return for the trade would be 48.56%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, FORD MOTOR was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in F on StockTwits appears to be moderately positive, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bullish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bullish strategy, the trade would be profitable if FORD MOTOR closed at or above $9.61 on 22-Jan-2021. Based on our analysis, there is a 53.67% 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.

StockTwits Trending Alert: Trading recent interest in DIREXION DAILY S&P OIL GAS EXPL BEAR 2X $DRIP

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Quantchabot has detected a promising Short Risk Reversal trade opportunity for DIREXION DAILY S&P OIL GAS EXPL BEAR 2X (DRIP) for the 19-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

DRIP was recently trading at $17.97 and has an implied volatility of 108.25% for this period. Based on an analysis of the options available for DRIP expiring on 19-Feb-2021, there is a 34.07% likelihood that the underlying will close within the analyzed range of $12.65-$17.96 at expiration. In this scenario, the average linear return for the trade would be 50.11%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, DIREXION DAILY S&P OIL GAS EXPL BEAR 2X was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in DRIP on StockTwits appears to be moderately negative, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bearish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bearish strategy, the trade would be profitable if DIREXION DAILY S&P OIL GAS EXPL BEAR 2X closed at or below $18.40 on 19-Feb-2021. Based on our analysis, there is a 52.69% 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.

52-Week High Alert: Trading today’s movement in UBER TECHNOLOGIES INC $UBER

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Quantchabot has detected a promising Bull Put Spread trade opportunity for UBER TECHNOLOGIES INC (UBER) for the 5-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

UBER was recently trading at $55.91 and has an implied volatility of 56.61% for this period. Based on an analysis of the options available for UBER expiring on 5-Feb-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $55.91-$64.72 at expiration. In this scenario, the average linear return for the trade would be 80.77%.

52 week high: UBER TECHNOLOGIES INC recently reached a new 52-week high at $56.95. UBER had traded in the range $13.71-$56.25 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 UBER maintains its current direction and does not revert back to pricing on the bearish side of $55.91 on 5-Feb-2021. 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 UBER TECHNOLOGIES INC closes at or above $55.61 on 5-Feb-2021. Based on our risk-neutral analysis, there is a 51.49% 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.

Big Gainer Alert: Trading today’s 13.0% move in ETSY INC. COMMON STOCK $ETSY

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Quantchabot has detected a promising Bull Put Spread trade opportunity for ETSY INC. COMMON STOCK (ETSY) for the 26-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

ETSY was recently trading at $206.82 and has an implied volatility of 69.83% for this period. Based on an analysis of the options available for ETSY expiring on 26-Feb-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $206.86-$264.59 at expiration. In this scenario, the average linear return for the trade would be 103.55%.

Big 12.99% Change: After closing the last trading session at $183.04, ETSY INC. COMMON STOCK opened today at $185.06 and has reached a high of $207.63.

Trade approach: A movement as big as 12.99% is a significantly bullish indicator, so this trade is designed to be profitable if ETSY maintains its current direction and does not revert back to pricing on the bearish side of $206.82 on 26-Feb-2021. 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 ETSY INC. COMMON STOCK closes at or above $206.30 on 26-Feb-2021. Based on our risk-neutral analysis, there is a 50.44% 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.

Synthetic Long Discount Alert: NANO-X IMAGING LTD ORDINARY SHARES $NNOX trading at a 14.23% discount for the 20-Jan-2023 expiration

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Quantchabot has detected a promising Synthetic Long Stock trade opportunity for NANO-X IMAGING LTD ORDINARY SHARES (NNOX) for the 20-Jan-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

NNOX was recently trading at $51.88 and has an implied volatility of 106.12% for this period. Based on an analysis of the options available for NNOX expiring on 20-Jan-2023, there is a 68.27% likelihood that the underlying will close within the analyzed range of $11.55-$236.28 at expiration. In this scenario, the average linear return for the trade would be 77.58%.

Upside potential: This synthetic long position offers the same potential benefits and liabilities as a long stock position, but at a discount due to the significant premium at-the-money puts are trading at over calls. In this case, the long call position is opened at a strike of $50.00, which is already $1.88 in the money. An out-of-the-money put at the same strike is sold to finance the call, resulting in a net credit of $5.50 per share. The final position can be considered as having a discount of $7.38 per share over the underlying price of $51.88 for a 14.23% total.

Downside risk: This discount is generally a sign of the stock facing considerable short pressure, and may indicate that the stock has become hard to borrow. However, if you have a long view of the underlying over this period, it could be a good opportunity to benefit from the upside at a major discount.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.