The automated Quantcha Trade Ideas Service has detected a promising trade opportunity for CROWN CASTLE () for the 19-Jan-2018 expiration period. You can analyze the opportunity in depth over at the .
CCI was recently trading at $111.57 and has an implied volatility of 14.04% for this period. Based on an analysis of the options available for CCI expiring on 19-Jan-2018, there is a 34.14% likelihood that the underlying will close within the analyzed range of $111.16-$120.06 at expiration. In this scenario, the average linear return for the trade would be 58.31%.
52 week high: CROWN CASTLE recently reached a new 52-week high at $112.46. CCI had traded in the range $79.38-$110.66 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 CCI maintains its current direction and does not revert back to pricing on the bearish side of $111.57 on 19-Jan-2018. 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 CROWN CASTLE closes at or above $110.70 on 19-Jan-2018. Based on our risk-neutral analysis, there is a 52.17% 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 11/7/2017 10:50:34 AM ET. The analysis does not include brokerage fees or commissions and is not investment advice.