The automated Quantcha Trade Ideas Service has detected a promising trade opportunity for IONIS PHARMACEUTICALS INC. COMMON STOCK () for the 4-Aug-2017 expiration period. You can analyze the opportunity in depth over at the .
IONS was recently trading at $57.53 and has an implied volatility of 42.38% for this period. Based on an analysis of the options available for IONS expiring on 4-Aug-2017, there is a 34.14% likelihood that the underlying will close within the analyzed range of $57.66-$62.90 at expiration. In this scenario, the average linear return for the trade would be 18.51%.
52 week high: IONIS PHARMACEUTICALS INC. COMMON STOCK recently reached a new 52-week high at $57.70. IONS had traded in the range $24.58-$57.00 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 IONS maintains its current direction and does not revert back to pricing on the bearish side of $57.53 on 4-Aug-2017. 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 IONIS PHARMACEUTICALS INC. COMMON STOCK closes at or above $57.60 on 4-Aug-2017. 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 .
This is an automated post generated based on a market analysis of delayed data at 7/21/2017 10:47:52 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.