Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bear Call Spread trade opportunity for ITAU UNIBANCO HOLDING (ITUB) for the 17-Apr-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. ITUB was recently trading at $7.12 and has an implied volatility of 36.82% for this period. Based on an analysis of the options available for ITUB expiring on 17-Apr-2020, there is a 34.14% likelihood that the underlying will close within the analyzed range of $6.19-$7.05 at expiration. In this scenario, the average linear return for the trade would be 24.80%. 52 week low: ITAU UNIBANCO HOLDING recently reached a new 52-week low at $7.07. ITUB had traded in the range $7.54-$10.01 over the past year. Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if ITUB maintains its current direction and does not revert back to pricing on the bullish side of $7.12 on 17-Apr-2020. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bearish strategy, the trade would be profitable if ITAU UNIBANCO HOLDING closes at or below $7.20 on 17-Apr-2020. Based on our risk-neutral analysis, there is a 56.62% 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.