Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bear Call Spread trade opportunity for CHEWY INC (CHWY) for the 4-Sep-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. CHWY was recently trading at $64.70 and has an implied volatility of 69.75% for this period. Based on an analysis of the options available for CHWY expiring on 4-Sep-2020, there is a 34.15% likelihood that the underlying will close within the analyzed range of $62.10-$64.70 at expiration. In this scenario, the average linear return for the trade would be 26.68%. Big -7.70% Change: After closing the last trading session at $70.10, CHEWY INC opened today at $68.39 and has reached a low of $63.85. Trade approach: A movement as big as -7.70% is a significantly bearish indicator, so this trade is designed to be profitable if CHWY maintains its current direction and does not revert back to pricing on the bullish side of $64.70 on 4-Sep-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 CHEWY INC closes at or below $65.12 on 4-Sep-2020. Based on our risk-neutral analysis, there is a 56.27% 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.