The automated Quantcha Trade Ideas Service has detected a promising trade opportunity for JACK IN THE BOX () for the 18-Aug-2017 expiration period. You can analyze the opportunity in depth over at the .
JACK was recently trading at $94.33 and has an implied volatility of 59.39% for this period. Based on an analysis of the options available for JACK expiring on 18-Aug-2017, there is a 34.95% likelihood that the underlying will close within the analyzed range of $94.32-$103.96 at expiration. In this scenario, the average linear return for the trade would be 50.50%.
Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, , 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 JACK 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 JACK IN THE BOX closed at or above $93.30 on 18-Aug-2017. Based on our analysis, there is a 55.33% 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 8/9/2017 1:17:25 PM ET. The analysis does not include brokerage fees or commissions and is not investment advice.