Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bull Put Spread trade opportunity for BJ’S WHOLESALE CLUB HOLDINGS INC (BJ) for the 21-Aug-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. BJ was recently trading at $39.24 and has an implied volatility of 49.82% for this period. Based on an analysis of the options available for BJ expiring on 21-Aug-2020, there is a 34.13% likelihood that the underlying will close within the analyzed range of $39.25-$46.13 at expiration. In this scenario, the average linear return for the trade would be 56.97%. 52 week high: BJ’S WHOLESALE CLUB HOLDINGS INC recently reached a new 52-week high at $39.31. BJ had traded in the range $18.84-$39.30 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 BJ maintains its current direction and does not revert back to pricing on the bearish side of $39.24 on 21-Aug-2020. 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 BJ’S WHOLESALE CLUB HOLDINGS INC closes at or above $38.15 on 21-Aug-2020. Based on our risk-neutral analysis, there is a 57.01% 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.